
Episode 4602: House Takes On The Big Beautiful Deal ...
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Bill Kristol
Bill cuts Medicaid by $930 billion and another $285 billion in food assistance. But SNAP is slashed. It provides some $350 billion for President Trump's border and national security agenda and would increase the nation's debt limit by $5 trillion. A number of other provisions that reflect Republican priorities also are included here. Analysis by the Congressional Budget Office found in the tax cuts would give the wealthiest households a $12,000 annual increase, but would cost the poorest people $1600 a year, $1600 a year. The CBO also estimates 11.8 million more Americans would be uninsured by 2034 if the bill becomes law, and that 3 million more will not qualify for food stamps, also known as those SNAP benefits.
Elon Musk
But who does Elon Musk represent? He came into the administration with an idea that you did the math on. It did not make any sense, which was that Doge was going to find enough savings to eliminate the debt at some point that you could do this tax cut package and you'd find enough waste and fraud to make it pay for itself. I was getting emails, fundraising emails from Republicans as recently as yesterday asking if I want my $5,000 doge dividend check. Another idea that Elon endorsed, saying that there were going to be so many savings you were get you the American people are going to get free money from the process. That didn't happen. The debt limit is being increased. He does care about that. Will he spend money against Republicans from the right, as he's threatening? He might. But I think he represents a lot of people who remembered the first Trump term in 2024 and remembered there were tax cuts and there were stimulus spending and there was a debt. But maybe it was worse under Biden, and the reality of the Trump record this time is much more austere. He is, yes, keeping the tax cuts, but people are going to get fewer benef. They're not getting stimulus checks. I keep pointing to these fundraising emails. I think it matters when people are asking Republicans to give the party more money. They are suggesting there's going to be free stuff coming for them down the line, and there simply isn't. So Musk being part of that whole process of spinning that Trump is going to have no tradeoffs and just benefits in this term. If he's burnt, a lot of other people who take him seriously are going to be burned.
Natasha Bertrand
That was a long time ago, and this is a different Republican Party. Over the past decade, Donald Trump has attracted a lot of culturally conservative former Democrats who are, you know, fiscally liberal and were never that interested in small government or spending cuts and didn't feel like they were in the game for the kind of tax cuts that came out of Washington. And, you know, look, this bill would eliminate some tax. Taxes on income from tips, taxes on overtime pay. You'd be able to refinance your car and get a. You'd be able to finance your car and get a tax deduction if it was American made. But I think the ultimate answer here, really, and this is important, I think, to understand, is there just isn't a constituency for debt reduction. And so on the one hand, we can and we should focus on Republicans who call themselves fiscal hawks or anybody who does, and then, you know, won't stand in the way of a bill like this or fight harder, let's say, to change it. But politicians are in the service business, right? Ideology is their approach to solving problems or crafting legislation, but they're responsible to the voters because they want to keep their job. Nobody is calling up, no Republican voter or few. I'm sure there's a phone booth somewhere where, you know, there are three people on the phone, but nobody's calling up Republican members of Congress demanding debt reduction, demanding smaller government. What they're saying is, protect my program, where's my tax cut? And this, this is what voters think about, right? The debt is just not something that's front of mind for them. If you poll voters, they will, of course, say the government should live within its means. Everybody thinks that. But then when it comes time to make decisions on how to do that, everybody's pointing at their neighbors saying, he makes more money than me. He can afford it. I need the programs that were promised to me. And so politicians in the Republican Party are simply more reflective of that. And in fact, one final thing here. You know, for years before Trump, the suburban vote that was a lot more fiscally conservative, at least ideologically, was a pretty reliable Republican vote. And that has really shifted over to the Democratic Party for many of these elections. And so you just have a different coalition at play here. And Donald Trump is responsive to his coalition. Now, they may not like what they get out of this bill once it's passed, and they're experiencing it. But I think the feeling from a lot of Republicans is there are a lot of things in here the president ran on. Voters did vote for him. Once we accomplish something, not only do we at least have something to run on in the midterm elections, but people are going to start to feel the impact of this and the positive will outweigh the negative.
Bill Kristol
The Justice Department is aggressively moving to strip some Americans of their citizenship. NPR reports. Department leadership is directing its attorneys to pursue denaturalization in cases involving naturalized citizens who commit certain crimes and giving US Attorneys wider discretion on when to carry out that move. That's according to a June 11 memo published online. NPR points out the tactic is aimed at US Citizens who were not born in the country. According to 2023 figures, nearly 25 million immigrants are naturalized citizens. Let's bring in former U.S. attorney and MSNBC legal analyst Joyce Vance. She's a co host of the Sisters in Law podcast. In her latest piece for Substack, Joyce writes about this threat to revoke.
Joyce Vance
The great fear here is that what's going to go away is this confidence, this global confidence in the US that if you lend money to the United States, there's going to be all but a guarantee that the US Pays you back. And so as we see this kind of spiral and spiral as Natasha's laid out, seeds of doubt begin to get sown in the minds of investors and governments who don't see the US in the same ways they saw them before. I mean, I think that what we're being encouraged to do here is look at all of this in a very short term way, whether it has to do with kind of temporary tax breaks that are in here when it comes to no taxes on tips, when it comes to the kind of child tax credit being enlarged a little bit here. Again, these are kind of just extended for a couple of years. And really the kind of larger extension of the tax bill is going to have this larger effect that's going to cause all of these problems down the line. So, you know, you mentioned Scott Bessen coming into this administration saying the fiscal getting the fiscal house in order was his priority. There was this moment that didn't take place during the campaign, but certainly happened during the transition in the early days of this administration where this became an issue that Republicans once again seemed to embrace. And in a way, Elon Musk kind of exemplified that the rationale for a lot of these cuts was taking a hard look at government and making really difficult choices. Well, that, of course, didn't come to pass in the way that he and his Doge colleagues promised. The cuts that they made were nowhere near the size of what they promised. And I think it kind of cheapened the promise that they made early on here that there was going to be an administration now in place that's going to take A serious look at these issues. If you look at this legislation, by no means is this doing anything to kind of again take a look at the fiscal house of state that it's in and make plans for the future.
Steve Bannon
This is the primal scream of a dying regime. Pray for our enemies because we're going medieval on these people. I got a free shot.
Tucker Carlson
All these networks lying about the people. The people have had a belly full of it. I know you don't like hearing that.
Steve Bannon
I know you try to do everything in the world to stop that, but you're not going to stop it. It's going to happen.
Elon Musk
And where do people like that go.
Chip Roy
To share the big lie? MAGA MEDIA I wish in my soul.
Steve Bannon
I wish that any of these people had a conscience.
Tucker Carlson
Ask yourself what is my task and.
Steve Bannon
What is my purpose? If that answer is to save my.
Tucker Carlson
Country, this country will be saved.
Steve Bannon
War ROOM here's your host Stephen k. Ban Wednesday 2 July Year of our Lord 2025 okay, what you have now, the rule basically got only voted at a committee by one vote, 7 to 6. Norman of South Carolina who's a deficit hawk, Chip Roy, obviously a deficit hawk, voted no for the Republicans. It's gone to the floor. You would think you would be getting the. And they started yesterday at 1:30 and we played a clip of Chip I think asking very good questions on the five o' clock show. In fact at six o' clock we did a panel discussion basically broke it down for the entire hour that went to I think one o' clock in the morning when they finally had the vote on the rule. Obviously they're trying to quick march this as they should but they've hit a snag number one. I think they're still minus 100 people that haven't gotten back because of the horrific weather around the imperial capital. More importantly, I think there's a pretty substantial group that are even saying now they may vote against the rule. That's a news flash and not even take it up. I think there's a lot of discontent among a broad swath of of people in the House as we've worked this overnight. Just got to take people's temperatures about changes from the Senate bill. Some of the changes for the Senate are just not acceptable. And this deals with people who are concerned about Medicaid for illegal aliens. They want to make sure there are not a ton of loopholes. They want illegal aliens off of Medicaid. Obviously Medicaid is a huge contentious issue. We got to make sure because of the lack of good jobs and lack of health insurance that the working class in this country and even the lower middle class make sure that they've got access to something. At the same time, you've got to cut the fraud. You've got to cut these able bodied folks on there, you know, and now it doesn't start till December 20, December of 2026, when they have to start checking in. It just didn't put enough hammer in the Senate bill. And when they say, but they're throwing people off Medicaid, remember those people are not eligible for Medicaid. They're not throwing anybody off. If you're not eligible, you're not eligible. The eligibility requirements should be stringent. This is a program to help people, particularly since we shipped all the great jobs overseas. But you got to have rules. And this gets back to the Elon Musk of it all. Elon Musk screwed this administration and screwed the President as badly as you can. And hey, for all you fanboys out there that are up in my grill, oh, you're so. Why are you so negative? Because I told you he was a total phony and a fraud. And now we're in a situation they all depended upon, you know, the Pied Piper. He's the Pied Piper. They certainly went to the Capitol Hill on the House side. They're all running up to the microphone, Elon, can you please save us? Can you please save us? No, we have to save ourselves. And that's why there's legitimate, I think, concern about some issues coming from this Senate bill that people are going to want to delve into now. It's pretty radical step to vote down the rule. That means the Republicans are saying we don't have our House in order. I also don't want to bring up an unpleasant topic, but Speaker Johnson made a hardcore pledge that to get the votes the first time. Because remember, we barely passed this thing in the House. We passed it by. The Vice President broke the tie yesterday. We essentially had a tie vote in the Senate. The vice President can break a tie. He broke a tie. So we didn't even really get the Republican majority, the 5,347, to vote for this yesterday. Understanding there's tons of rhinos there. That's one of the problems. The House was the same situation. We barely got it passed by a couple of votes. So you can lose very few people. Johnson made an ironclad pledge that we need to hold him to. He told the people in the House to get that vote that this is the framework that the final bill is going to be. You have to take my word for it. I'm going to hammer it through. And we find out during the Senate process they didn't even keep him in the loop. It was an open secret and then broke in the media. I think even some of his people admitted it. The Senate leadership didn't even come back to him, didn't ask his opinion, just going to do what they're going to do because they're the Senate, they're the House of Lords and the, and the House is the House of Commons didn't even keep him in the loop. And so there are a number of members that are outraged by the, by some of the changes that were made by the Senate. And you heard Dave Walsh yesterday, President Trump has been adamant the Green New scam, and this started back years ago in Obama with bailing out all the venture capitalists that put their money into all Democrat and all progressive venture capitalists and put their money into these Green New Deal scams, decarbonization. It's all a con, it's all a scam to enrich themselves. And Dave Walsh said yesterday, hey, President Trump's been admit all comes out. It's not, not only not all out, he thinks it could actually hurt the electrification process and project to get enough electricity to support the data centers for AI to support a lot of this post industrial economy and just the basic manufacturing economy. If you look at everything that's moving back here, the reshoring, the investments, which all gets baked into the 2.8% to 3 and a half percent growth, which is we're going to grow our way out of here. Which I might note and I'll read it when we get back. The president, the president put out a true social day. You know what the headline was?
Elon Musk
Growth.
Steve Bannon
You heard that somewhere. That's the way this thing's got to be sold. The president went all in. This is about growth. His supply side tax, supply side program here is about economic growth. Getting us out of the doldrums. Get us getting us out of 1.5 to 2% growth, 1.7. America doesn't work when the growth is under 2%. President Trump averaged 2.8% in his first three years of his administration before the Chinese Communist Party unleashed a bioweapon on him. And I hate to say I had to remind the economists at the Treasury Department, the fourth quarter of 2019 was 3.4% where President Trump, everything started to click in like his plan is today. But it's Got to be sold. And right now it's very contentious. This is going to be a heated couple of days, folks. We're going to be here nonstop. I'm not feeling that we're going to be signing a bill on July 4th. The reason is if there's any changes, gotta go back to the Senate. And that's what people are saying. The Senate's out of town, they've gone. So basically, sign what you got. Let's get to the President's desk. A huge fight in the imperial capital. We're gonna cover it wall to wall, short break. Back in a moment.
Tucker Carlson
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Steve Bannon
Okay, before we get to the nitty gritty and the grind of the house and the rules and all that because we're gonna have, I think Chip Roy is going to join us. Hopefully Eli Crane, we've got EJ and Tony is going to join us. Go through the math. As we said, President Trump put out this great true social just a little while ago. Growth is the headline. Where have you heard that? I'm going to read the entire thing to you in a little while. But right now we're joined by Ambassador Monica Crowley from Blair House. Ambassador, tomorrow kicks off really the beginning of the 250th anniversary celebration of the formation of the United States and you're going to do it in Iowa. You're going to be the real America's Voice where Honor is going to be producing the entire production. And we're going to be live from 3pm Eastern Daylight Time to 10pm or later with an entire crew at their staff anchors, all of it. Tomorrow, can you tell us why are you kicking off the day before 4th of July? What's the purpose of this? And and tell us about the whole 250 celebration that we look forward to.
Monica Crowley
Well, thank you so much, Steve. It's always great to be back with you from beautiful historic Blair House. I'm actually sitting in the Lee Drawing Room. This is the location where the Blair brothers offered Robert E. Lee the to lead the Union army, which he declined because he was from the South. There's also a room here called the Lincoln Sitting Room where I spend a lot of time communing with Abraham Lincoln because he used to retreat here just to think he'd build a fire and he'd just think about executing the Civil War. So this place has incredible history and I'm so blessed to be here. I'm also blessed, Steve, to be the President's representative for all of these major US hosted events over the next three and a half years. America 250, of course, plus the FIFA World cup next year and the 2028 Olympic Games in LA, which President Trump heroically brought to the United States. So we're kicking off America 250. This is America's 250th birthday. An extraordinary pivotal moment in our history and really an inflection point, Steve, because as you know, it's often been said by historians and others that great civilizations usually only run about 250 years before the decaden and the corruption and the decay set in and implode those societies and those civilizations. America is going to prove to be the exception to the rule and it's largely because of the greatest president we have seen certainly in modern history, and that is Donald J. Trump. So it is such a gift, Steve, to have President Trump in the White House during this America 250 celebration. We are kicking it off tomorrow at the Iowa State grounds in Des Moines, Iowa. It is going to be a massive, massive celebration right there in the heartland. I am dying to get out of the swamp. I think the president can't wait to get out of the swamp and really celebrate America right smack dab in the middle of the country. It is an evening event, although if you're in Iowa or if not, you want to get to Iowa for this event. America250.org has all of the information about tomorrow's event and all the events that we have planned both nationally and in all 50 states and U.S. territories. But tomorrow's going to be centered on kicking off one full year of celebration of America's founding and the brave sacrifice, the courage that it took for that genius cluster of the founding Fathers to stake their lives, their fortunes and their sacred honor on creating a country from scratch and giving us the greatest governing system based in human freedom that the world has ever known. So tomorrow we're going to celebrate with dazzling displays. We've got live musical acts at the Iowa State Fair. I'm going to be speaking before the president takes the podium. And then of course, our big headliner, President Trump.
Steve Bannon
Ambassador, let's go back. We're starting in Iowa because it's the heartland of the country in America's like entrust Iowa. That's why they have the Iowa caucuses first. People have a lot of faith in the common sense and kind of the basically patriotism and grit of folks from Iowa. Is that why you're we're kicking off in the heartland for that reason?
Monica Crowley
Yes, one of several reasons. Yes, because it is the heartland. It is the same center of the country. It's the salt and earth of America. Iowa is full of Americans who actually make this country run every single day. So we wanted to launch it there. And of course, the president, as he has said many times, including recently, the president has a special affinity for the state of Iowa, which has been very good to him electorally over the last 10 years. And he is close to the governor, Kim Reynolds in Iowa as well. And he also loves the Iowa State Fair. And he has talked about it for years. He has visited many times before. And he's actually said later this summer he intends to go back to the Iowa State Fair. So it has a special place in his heart as well.
Steve Bannon
Wow. Walk us through. So a year from Friday will be the 250th. Just give us the big moments that you all are looking for. And to commemorate this historic, like you said, there are not many republics that have lasted for a quarter millennium. Right. I can think of maybe the Roman Republic and the American. And that's it. Where walk us through just the big moments that you guys, as you look at now, are planning on.
Monica Crowley
Yeah, sure. So let me begin by Friday. So this is tomorrow in Iowa. And then on Friday we're Back in the swamp. We're back in Washington, D.C. and we're going to have a massive celebration on the Mall with the traditional fireworks, of course. But one of the things that President Trump is going to do is he's having the bomber pilots that flew the mission into Iran for 36 hours with a huge, massive success. He's having those pilots as his guest to the White house on Friday, July 4th. And we're going to do a very special flyover that night as well of the planes, the bomber planes that were used in that mission. So the B2s, the F22s and the F35s will be flying over Washington, D.C. so if you're in this area, please come out and see us again. America250.org for all of those details, too. And then looking ahead for the next year, Steve, I don't want to get too in front of the president and his announcements of what we're thinking about and what we have planned. But we had this magnificent, really important Army 250 parade, which was phenomenal. We're looking at Navy 250, 250. We're looking at Marines 250. We have those important milestones coming up. Look for something on New Year's Eve. We're not ready to announce anything quite yet. But New Year's eve going into 2026 and then starting in January, each state has their own programming because they all have their own 250 commissions. So there will be things happening in all 50 states and US territories. And again, you can go to the website America250 to find out what is planned and what's happening in your neck of the woods. You don't have to be in the swamp in Washington to celebrate. But what I can tell you, one very specific thing, actually two first is back in the bicentennial in 1976, they did this extraordinary thing in New York harbor, which I believe is the deepest harbor in America. And it can accommodate really substantial ships. So what we're doing is something called Sail forth for America 250. And we are doing once again, as we did 50 years ago, the tall ships parade around the island of Manhattan and then up the Hudson River. So far, we have well over 44 nations that are going to send a tall ship for this parade. And it is going to be magnificent in New York harbor next July 4th. Also, I want to make mention that the FIFA World cup, the final, is also happening next July. So next July is going to be wild and so exciting in America. But there is a FIFA World cup match being played in Philadelphia on July 4th next year. So Philadelphia is also going to be a real center of all of this activity. So those are a couple of things that I can tease you with that are coming up over the next year. But rest assured, President Trump is, this means so much to him personally. It means so much to me. It means so much to you and the War room audience. To celebrate America's leadership, strength, pride, patriotism and purpose. President Trump is all about making America great again. And you know what, Steve? In many ways, the MAGA generation is the natural heir to the Revolutionary War generation. And Donald Trump is a direct heir of the founders American spirit. This is what it's all about. So what a gift it is to have President Trump as president right now to celebrate America's birthday.
Steve Bannon
As we said, it's so providential that they stole the second one so he could come back and historically take the third one and now serve so many historic things. Last thing we've got a minute. Your primary job is head of Protocol. The question how do you find time for that when you're juggling? I know President Trump always gives something more to people, get things done. But how do you, how do you actually get the Protocol job done?
Monica Crowley
Yes. And that is a huge portfolio. So as chief of protocol of the United States, I and my very talented team, I've got an extraordinary team here at Protocol. This is a massive team effort. We manage all of the presidents, the Vice president's and the Secretary of State's diplomatic engagements. So whenever there's a foreign delegation that arrives in the US for meetings, it is me and my extraordinary team handling all of that. The bilats, the world leader meetings, anytime we have a leader visit, I am handling that. My team is handling that. So it is a very full portfolio. Next week we have Prime Minister Netanyahu coming in on Sunday into Monday for a meeting with the President. And then later in the week, we have five African presidents coming in to see the president for very important discussions about that continent, China's influence, America's counter influence in Africa. So very important things happening. And you know what, Steve? I have to learn not to enjoy free time because I have none anymore.
Steve Bannon
Ambassador, Ambassador, what's your social media so people can follow you?
Monica Crowley
Yeah, sure. At Monica Crowley on X, on Instagram, at Monica Crowley underscore please check me out there. And of course, on Truth Social at Monica Crowley.
Steve Bannon
We'll see you tomorrow in Iowa. Thank you.
Monica Crowley
Thank you, Steve.
Steve Bannon
Monica. Thank you, ma' am. From the Blair House House, the historic Blair House. Short commercial break we're going to get all this up so people know where to go in Iowa if you want to attend. Real America's Voice Producing Back in a moment.
Tucker Carlson
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Steve Bannon
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Steve Bannon
Okay, welcome back. We'll have a lot more on the on the event in Iowa. Real America's Voice is going to produce and very proud of that. Brian Glenn will be their whole team. You have anchors, all of it from from 3pm to 10pm tomorrow. It's going to be extraordinary. That's Eastern Daylight Time. Congressman Chip Royce. Congressman, there's all kind of Twitter's on fire right now. There's all kind of descriptions of people saying, hey, the rule vote was supposed to be 11 o' clock. Of course people are straggling in, but it could be kicked it early afternoon. But they're up to 25 maybe, plus Republican members that are not even ready to vote for the rule yet. This is pretty controversial, pretty controversial when you can't get a rule vote to get it to the floor to even start debating. So can you walk us through exactly where we stand, sir?
Chip Roy
Yes, Steve, great to be on. First of all, let me level set because I know your audience is such a great patriotic group of Folks that want to support what the president is doing and that to advance the MAGA agenda. And I think that President Trump, you know, is looking for us to deliver on what he campaigned on. And this is where the crux of the problem is. There are those of us in the House that are reviewing the bill after it came through the Senate, and we believe it falls short. We believe that it will create too much spending, and that is too much in the way of deficits over the next four or five years, in particular with backloaded savings and more deficits up front. We believe that it gutted our changes to the Green New Scam subsidies such that there won't be an effective termination of the Green New Scam. We believe that it continues to allow, for example, illegals to be able to get Medicaid. There are other things I could go through a laundry list if you want me to. But I think the bigger question you're asking is, where are we? And I think you've noted that the President and some of his great supporters, all good friends of mine, friends of this show, like Russ Vogt, the Treasury Secretary, Scott Besant, great folks that we've been talking to on a daily basis, they believe the answer is that the President is going to produce growth and revenue through tariffs that will make up the shortfall that this bill produces in the form of deficits. Look, I'm sympathetic to those guys. They're my friends. And I believe in the president and I believe in his agenda. But I think we have a responsibility in Congress to level set what we're doing with the spending restraint that is necessary for growth. And final point on that, you've got Malay down in Argentina. They got 5.7% growth. How do you think they got that? They got that by wiping out their version of the swamp by cuts and deregulation. I think Congress has to step up to the plate and deliver for the President. That's what we're trying to do. We hope to meet with the White House today. We had a meeting with the speaker till five minutes ago. I'm looking up the clocks. There's a vote that I got to go vote here in a second on a procedural move. Democrats are insane. Republicans have put together a product that has a lot of good pieces to it, but it's falling short, in my view. I want the Green New Scam deal fixed, and I want us to get to the place where we're honoring our commitment to reduce deficits. If we can do those things, amend it and send it back to the Senate, then we can deliver for the President, in my opinion.
Steve Bannon
I know you got to bounce in a second. We'd love to get your back when you're free because we think that this audience will be critical in actually making something happen like they did on the artificial intelligence part yesterday. Here's, here's a, you know, I don't normally just go to the politics, but the reality is we couldn't pass this in the Senate. JD had to come down as VP and kind of break it with the constitutional tiebreaker. The Senate is the problem. And you can see the things replete with things that not only President Trump didn't run on, but are outrageous. We had Dave Walsh on here for 30 minutes last night. Our energy experts saying the Green New Scam is actually undercuts and chop blocks President Trump's ability to get to the 2.8 to 3.5% growth. But this, this has come in from the Senate. How do you just, on the politics, let's say you make the changes you want to make, then it goes back to the Senate, we start the process all over again. And I'm saying, hey, it's got to be done by Friday or has to be done by mid July. But just the, the, just the reality that you have such a rhino and donor owned Senate, how do you ever anticipate with all the good intention you got in the good cuts and things like that, how do you even intense anticipate it getting it getting passed? We barely got this pass as all. In fact, we had to use the vice president tiebreak on something that's not, you know, is suboptimal, sir.
Chip Roy
Well, that is the legitimate question is the one we're having conversations with the White House about because we want to deliver. Here's what we believe, Steve. And I think, you know this. The pressure cooker in Washington in the swamp for tax cuts is really high, right? K Street, everybody in town is wired to deliver on tax cuts. There is nobody in this town that is turning up the pressure to deliver on the spending restraint and on the reforms to things like the Green New Scam. K Street got involved and let's just take that for a minute. Late night on Sunday, I think it was, they had something they were trying to work out to get this through. JD Obviously came in and broke the tie. They did what's called a wraparound amendment, which is what they did to basically pull it all together. And in doing that, they didn't run any of it by the good guys like Rick Scott or Mike Lee or Ron Johnson or Rand Paul or anybody else. What they did was they jammed in the provision that guts the Green New scam reforms that we put in place. They did that as a giveaway to a couple of senators who weren't fond of what we were doing to undo the Green New scam, which, by the way, the President campaigned on the House, delivered about a 55 or 60% termination of the Green news scam. The Senate wanted to water it down. We fought it back. Mike Lee and others fought it back. But then last minute, eleventh hour, right before the vote, they jammed that provision in there. That was the deal killer for me, Steve. I was wobbling because, you know, I didn't think it did enough on deficits. But I want to deliver for the President. The Senate sucks. We need to get the tax cuts, we need to get the border money. We need to support what Miller and Homan and the guys are doing. I'm all on board and I'm giving a lot of deference, but I got everybody to understand I had already given and given and given over the last six months that we're not doing enough on cuts. We're not doing enough to meet the moment on the mandatory spending. We're not doing what Malay is doing in Argentina because Congress is too fricking gutless and cowardly. The President's leading and we need to meet the moment, in my view, right now. To answer your question, we don't need to redo the whole bill, amend it, take the version we already passed out of the House, put our Green New Scam language in there, make some modifications to meet the framework that we did to keep deficits, you know, keep it deficit neutral and then make a few other tweaks and send it back to the Senate and then dare Murkowski or dare some of these guys to jam the President's agenda when what we're doing is try to do exactly what the President wants, terminate the Green New Scam, have a deficit neutral approach to tax and spend policy, and then let's call the question. But I'm not going to get rolled on the policies that Texans care about, which is ending the Green New Scam and not racking up more deficits.
Steve Bannon
What about the loopholes, this thing on Medicaid for illegal. Senator schmidt's telling us 1.4 off, but I think there's other ways. We're not ironclad. I just don't know how we do Medicaid cuts for working class Americans and still allow any chance at all that a illegal alien could Get Medicaid. Is that one of the things that you're going to try to tweak as you go back to The White House?
Chip Roy
100%. I wasn't going through my whole list, although I mentioned earlier. Let me explain this because your audience is the most educated of any of the audiences out there. So it is already unlawful for Medicaid to go to illegals. Right? You're not supposed to do it, but they backdoor into it and we've got reports showing that millions get Medicaid. So what did we do in the bill? There's a section, I can't remember the number, section 7 1, blah, blah, blah. And it does tighten it somewhere. It puts some teeth into it. CBO scores it as saving five or six billion dollars. So Senator Schmidt is not wrong. There's language in there that makes it better and we fought for that in the House and the Senate's got it. But the one thing we did in the House, this is important and it's a part of the Medicaid scam. Right? You and all your viewers and all of us want to make sure the vulnerable for whom Medicaid was created and working class Americans, they get the ability to go get health care. But we don't want the able bodied, the scammers to get it. We don't want insurance companies and bat cats to get rich on the back of this program. So here's how it works. The fact is, you take some of that money, the state money, they'll go spend it on illegal aliens. They won't use the federal money, which they're prohibited from doing, but they'll use their state money. But they'll still claim all of the provider tax dollars and the FMAP matching dollars and use that to fatten their coffers so they end run the restrictions. In the House bill, we said you're going to lose your federal match if you continue to provide Medicaid to illegal aliens. And so, you know, California, for example, the Senate stripped that out. They hid behind the parliamentarian, but they didn't fight hard enough to keep it in and they didn't rework the language so that we can guarantee that those federal dollars don't flow to states that give money to illegal aliens. I hope that's clear.
Steve Bannon
Chip, are you, are you and the contingent going to go up to the, going to go over to the White House before the rule vote or after the rule vote? Because I would strongly recommend you go before the rule vote, right, to lay it on the table and give the President really directionally where you guys are trying to go and how actually you're trying to support his agenda that was stripped out in the RHINO and donor controlled and K Street controlled, lobbies controlled. Center it, sir.
Chip Roy
So I'm supposed to be heading up there right now. Once I finish with you, I got to go vote and then I got to hop in a car and head over to the White House and hopefully meet with the President or his folks or both. We're all there to support what we're trying to do, support the MAGA agenda, support the President. But we've got to make sure that this Congress isn't rolling us or the President's agenda. We can't have more deficits and we can't have the Green New scam continue with those subsidies are going to kill the American energy. In addition, frankly, our environment as well. I mean, I don't want to see solar farms and wind farms and battery facilities all over the Texas hill country and all over Texas. So we got to go stop this stuff and go get a wind farm.
Steve Bannon
Knowing the President, I would strongly recommend Chip, if you would say, Mr. President, you can get the fourth quarter of 2019, you had the economy clicking at 3.4% growth, which would be a home run here and turn everything around. Some of these provisions in here make it impossible, particularly the Green New scam and the Meg, make it impossible for you to hit your growth target. President Trump's about growth and I don't think, I think the Senate has hid from him as we had Dave Washington yesterday, how what they stripped out is going to hurt the ability to get north of 3%. And the president's looking for 4% or 5% growth, which is all doable if we get this bill right. So, Chip, Roy, go with God. Good luck with the White House, with the President.
Chip Roy
God bless Steve, Appreciate y' all.
Steve Bannon
Thank you. I'm gonna read. I think I've got it. I want to read President Trump, as you've heard on this show. And why did we do this? Why did we did this? For the simple reason is to understand what President Trump is doing. To understand what President Trump is doing, you got to focus on growth. Let's go to, let's go to the first one.
Monica Crowley
1.
Steve Bannon
Nobody wants to talk about growth, which will be the primary reason that the big beautiful bill will be one of the most successful pieces of legislation ever passed. This growth all cap has already begun at levels never seen before. Trillions of dollars are now being invested into the United States more than ever before. Likewise, hundreds of billions of dollars in tariffs are filling up the coffers of the Treasury. The tariff money has already arrived and setting new records. We are growing our way out of the sleepy Joe Biden mess that he and the Democrats left us, which is happening much faster than anyone thought possible. Our country will make a fortune this year more than any of our competitors, but only if the big beautiful bill is passed as they say. President Trump's been right about everything and this is the easiest of them all to predict. Republicans, don't let the radical left Democrats push you around. We've got all the cards and we are going to use the them. Last year America was dead, was a dead nation with no hope for the future and now it's the hottest nation in the world. Make America great again. The entire bet as we have talked in this show now for two years in particular when Scott Besson became a regular contributor. This is a supply side tax cut is the last time you're going to have a shot to have a supply side solution to our problem which is about productivity and production and implying capital model to manufacturing into high value added jobs. And now I think the administration is focused on how you sell this growth. What I think is important today with the House is explained to President Trump as Dave Walsh did last night for 30 minutes brilliantly. There are aspects of the Senate bill that K Street put in for their own benefit. The lobbyist that may hurt are going to be a speed bump to the growth. That'll all be explained. They they're going to the White House before the rules vote. That's pretty big folks. We'll explain it all to you next in the war room.
Tucker Carlson
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Steve Bannon
Now there's there's greater than a zero probability president doesn't want to hear it we'll see. I think it's very smart to go up there before a a the rules for vote because the thing is to lay out to the President what the issues are and what they hope to to accomplish. Like I said the we didn't pass it in the, in the Senate. JD had to come down for that extreme. When the Vice president comes down to break a tie. We did pass it, but it took the VP's vote. Someone not who's president of the Senate but not technically a senator, he's Vice President United States. Why was that that you had the, you know, you had the folks that wanted more cuts and then you have obviously you always got the Murkowski problem and the Collins problem and all that. So any changes whatsoever the guys in the south would say well we can't do this. You know we went, you know, if you remember the vote of Rama the Votorama stayed open forever.
Chip Roy
Why?
Steve Bannon
On amendment after amendment normally these things are bang bang bang. They were gathering votes to see what they could pass at any one point in time. This is why I'm so proud of one of the most egregious things in here and this is how the swamp works is how K Street works is how the tech prologar they slipped in one of the most radical ideas ever to really crush not just states rights but the whole concept of federalism. On I would argue if not the most important topic really of the day, one of the most important topics as we hurdle towards the singularity really the whole, you know, more than a millennial change, a change of forever from Homo sapiens to Homo sapiens 2.0 that is coming. We're hurtling towards it and that's what we stopped the other day. You stopped it991 and was so toxic not one damn senator that was up. Not one senator including Ted Cruz who had done the bidding of big tech wanted to be near this thing because they realized the toxicity in doing re election and actually having to take in the side of the tech Rolig arcs offer more power and money for them. That's all it is. And, and you bring up the saying oh about China. Well the tech boligarchs are helping to arm China. Sequoia Capital, these venture capital firms are in business with the Chinese Communist Party. Don't, don't let anybody fool you here. We're adults. We see what's going on. Just had the situation with Ray on the, on the mail in voting on the on the suppression of of information about the Chinese Communist Party when He's out there saying, oh, it's the biggest thing in the world. They're the black hand of the Chinese Communist Party is all over the imperial capital, all over the imperial capital, as many other foreign governments. The, the Qatar, I mean, Qatar has done, I think they put $100 billion into America, into people associated with America, prominent people in America, etc. And Qatar has a. Qatar's got a lot of stroke from a country that was almost taken over in June of 2017 by the UAE in Saudi Arabia, they've had quite a comeback. I think they savvied up and said, hey, we need some allies in Capitol Hill. My point is that this is an open bazaar of a foreign influence, corruption and influence peddling. That's why this was so important yesterday. Now the President must say, hey, look, look, if this has to go back to the Senate, this thing could take months. And you know, he may not be wrong. And if he wants it button up, particularly securing the permanent nature of the tax cuts, he may tell these guys, look, I hear you, but you know, you just got to get on this bill. I just want it done. So this is a very big meeting is going to take place. Chip Roy and others, I think, Andy Harris, other members of the Freedom Caucus, you know, Speaker Johnson once again, and this is where you're going to have problems when these guys over promise they make these commitments. You come back on something. He made a commitment to people in the House. If this doesn't come back in the exact framework that we've laid out, I will resign. So where's the resignation? Where. Where is that if this goes crab sideways? Because right now people have legitimate concerns. The wraparound is this thing at the end where the leader puts up. And we were quite concerned when we were fighting the fight on the artificial intelligence at one time early on we had like nine votes. And our fear was if we won this because we could come up with, you know, five or six or nine votes that K Street and the Tech Berlagar in the wraparound would basically put it back in, because that's how this works. That's how the Green New scam, which they totally took out, got put back in. That's why some of the stuff on Medicaid even, I think got put back in. Although some of that was a parliamentarian in the Senate hiding behind the parliament. Parliamentarian. The. But when you go 99 to 1, it's. You're kind of bulletproof. And it also shows you how toxic this was. We've got J And Tony's going to be here. We're going to, as we've, you know, recommended to the White House, the Secretary Treasury. There's a lot of positive in this bill. The things that are positive, the most positive is a well thought through growth strategy that deals with everything from deregulation and deconstruction, the administrative state to the security and the sovereignty of the United States on the border and also deporting illegal aliens and stopping any more from coming in and competing with particularly low skilled workers for jobs. There's a whole, there's a very complicated whole thing about commercial relationships. There's so much here that's positive energy, you know, going back to full, full spectrum energy dominance that has to be put together and bundled and sold. When the American people understand that, they go, okay, I got it. It's a growth strategy. And your growth strategy is to get to not the 1.75% or under 2% that the IMF says and CBO says. Everybody's kind of down on America because they look at this as a static process. If you look at the dynamism of it and you can connect the dots and make hard linkages not pie in the sky because President Trump had 2.8% growth in the first term. But most importantly, he started to hit on all cylinders in the fourth quarter of 2019 when it all started to come together. He had 3.4% growth in that fourth quarter. This makes this thing very sellable. And Scott Bessett and Russ say we're going to execute on it. But that has to put forward to the American people. They have to understand it. Otherwise you're just going to get hammered by the method messaging. The CBO says it's, you know, these big deficits run up. Also the technical argument which the correct on you're making structural changes that benefit in the out years is too technical for people. It just lost on them. And it's five, six years out. It's the White House has tried to sell it. I don't think people get it. I don't think they can take it on board. I don't think it has the impact of talking about the vital mentality of unlocking the animal spirits now and what is the best of American capitalism. And that is the core of this supply side cut. And we're going to have E.J. and Tony. We have a lot more people. I think we'll get to Secretary Treasury Scott Bessant this afternoon. We're trying to book that or trying to organize that right now because I think these are the key things. Okay. What is happening? What is happening is that Chip, Roy and others are going to head up to the White House to have a meeting. I think the rules votes postponed right now are delayed, and they'll get to that later. So it's a lot going on in the imperial capital, and it all ties to the biggest legislation package in many, many years, and kind of the centerpiece of President Trump's legislative package, his tax cut and his spending cuts. Short commercial break the second hour will be on fire. We'll get into all of it. And you've got a ringside seat for what's happening today in the Imperial case capital as we try to pass the big, beautiful bill.
Bannon’s War Room – Episode 4602: House Takes On The Big Beautiful Deal
Release Date: July 2, 2025
Overview
In Episode 4602 of Bannon’s War Room, host Stephen K. Bannon delves deep into the legislative maneuvers surrounding the controversial "Big Beautiful Deal" bill. This comprehensive episode features insights from political strategists, business leaders, medical experts, and frontline voices, providing listeners with an in-depth analysis of the bill’s implications, the internal conflicts within the Republican Party, and the broader impact on the American socio-economic landscape.
1. Introduction to the Big Beautiful Deal
The episode opens with Bill Kristol outlining the significant financial alterations proposed in the bill:
Kristol also highlights the adverse effects on healthcare and food assistance, projecting that 11.8 million more Americans would be uninsured by 2034 and 3 million would lose SNAP benefits if the bill passes (00:55).
2. Elon Musk’s Perspective and Critique
Elon Musk weighs in, criticizing the administration’s financial strategy:
Musk warns of broader implications if such misleading strategies continue, suggesting that “if he [Trump] burns, a lot of other people who take him seriously are going to be burned.” (01:56)
3. Evolution of the Republican Party’s Constituency
Natasha Bertrand provides a historical context of the Republican Party’s shifting demographics and priorities:
Bertrand underscores the disconnect between Republican legislators’ fiscal policies and the priorities of their constituents, who demand “protect my program, where's my tax cut?” despite general voter agreement on the importance of government fiscal responsibility (02:18).
4. Justice Department’s Denaturalization Efforts
The discussion moves to the Justice Department's aggressive strategies to revoke citizenship:
Vance criticizes the administration’s failure to uphold promises of fiscal responsibility, noting that the current legislation “isn’t doing anything to take a look at the fiscal house of state that it’s in and make plans for the future.” (05:49)
5. Internal Conflicts and Legislative Challenges
Steve Bannon discusses the turmoil within the House as the "Big Beautiful Deal" faces significant opposition:
He underscores the administration's frustration with the Senate's interference, citing Elon Musk's failed promises as a catalyst for current legislative hurdles (02:18, 07:25).
6. Celebrating America’s 250th Anniversary
A significant portion of the episode is dedicated to the upcoming celebrations of America's 250th anniversary:
Crowley emphasizes the importance of launching these celebrations in the heartland, particularly Iowa, reflecting the state's significance in American politics and its support for Trump (20:47).
7. Senate Amendments and House Reactions
Chip Roy, a Republican congressman, provides a critical analysis of the Senate's amendments to the House bill:
Roy underscores the necessity of amending the Senate's version to align with the House's fiscal restraint and anti-subsidy objectives, advocating for Congress to uphold the President’s agenda despite Senate resistance (30:42, 37:49).
8. Strategic Legislative Moves and Future Outlook
Bannon explores potential strategies to navigate the legislative impasse:
Bannon remains optimistic about legislative progress, anticipating heated debates and sustained media coverage, while highlighting the critical role of public perception in advancing the bill’s passage (43:48).
Notable Quotes
Conclusion
Episode 4602 of Bannon’s War Room provides a multifaceted exploration of the contentious "Big Beautiful Deal" bill, highlighting the intricate balance between fiscal conservatism and voter demands within the Republican Party. Through detailed discussions with key political figures and experts, the episode underscores the challenges of passing comprehensive legislation in a divided political landscape. Additionally, the celebration of America’s 250th anniversary serves as a pivotal backdrop, reinforcing themes of nationalism and economic resurgence central to the bill's proponents.
As the House grapples with Senate amendments and internal dissent, the episode leaves listeners anticipating the legislative showdown and the potential ramifications for the Republican agenda and American economic policy.
Timestamps Reference:
<a id="timestamp00:00"></a>[00:00] Bill Kristol's initial breakdown of the bill.
<a id="timestamp00:55"></a>[00:55] Elon Musk critiques the administration’s debt strategy.
<a id="timestamp02:18"></a>[02:18] Natasha Bertrand discusses the Republican Party's evolving priorities.
<a id="timestamp04:59"></a>[04:59] Introduction of Joyce Vance on denaturalization efforts.
<a id="timestamp07:07"></a>[07:07] Steve Bannon on House proceedings and Senate challenges.
<a id="timestamp08:07"></a>[08:07] Further insights from Steve Bannon on Medicaid and legislative hurdles.
<a id="timestamp17:40"></a>[17:40] Ambassador Monica Crowley on America 250 celebrations.
<a id="timestamp20:47"></a>[20:47] Monica Crowley explains the choice of Iowa for launch events.
<a id="timestamp30:42"></a>[30:42] Chip Roy discusses Senate amendments and fiscal concerns.
<a id="timestamp34:40"></a>[34:40] Chip Roy elaborates on the Green New Deal and Senate interference.
<a id="timestamp37:49"></a>[37:49] Chip Roy addresses Medicaid restrictions for illegal aliens.
<a id="timestamp40:04"></a>[40:04] Bannon on strategic moves to counter Senate amendments.
<a id="timestamp41:50"></a>[41:50] Bannon ties legislation to economic growth narratives.
<a id="timestamp43:48"></a>[43:48] Bannon previews upcoming discussions and strategies.
<a id="timestamp28:12"></a>[28:12] Steve Bannon wraps up segment on legislative challenges.
Note: This summary captures the key discussions and insights from the provided transcript segments up to [45:42]. Subsequent parts of the episode may contain additional critical information not covered here.