The US Senate voted Thursday to pass a budget proposal that would cut spending and raise taxes to offset the economic effects of the tax cuts enacted by President Donald Trump.
But the measure, which includes a $1 trillion tax cut for businesses and a $2 trillion package for the military, was rejected by Democrats.
The budget would not add any new taxes to the national debt, a key priority for Republicans.
Democrats said the budget does not provide sufficient relief to help the middle class, which has been hit hard by the tax increases.
Senate Majority Leader Mitch McConnell, R-Ky., said the plan does not meet the minimum requirements for the debt-reduction goals set by Republicans in their budget plan.
Senate Republicans are working to pass the budget by early May.
Democrats, who control the Senate, are expected to pass legislation to repeal many of the cuts in the budget before lawmakers leave for the Memorial Day recess, but Republicans have been unwilling to do so.
House Minority Leader Nancy Pelosi, D-Calif., said Wednesday that the budget was “not going to be a victory lap,” but a long-term effort to tackle the budget’s economic effects.
The Senate voted to approve the plan Thursday, but the Senate Budget Committee will not take up the measure for a vote.
The panel is composed of the chamber’s top Republican, Republican leaders and Democrats, as well as the vice president and other White House officials.
A majority of the House is expected to vote on the bill.
Democrats have also said they would not support the budget plan, which would leave more than a billion people without health insurance.
But Democrats are united in opposition to the measure.
They have called for a $5 trillion tax overhaul that would also extend tax cuts for individuals, businesses and the wealthy, and a broader plan to address the health care crisis.
“If Republicans don’t like this, then they have to come up with a plan,” said Rep. Jim McDermott, D, Wash.
“It’s a plan to pay for the health-care reform they’re proposing.”
The House passed its version of the budget last week and the Senate has yet to take up its version.
The House’s proposal would raise taxes on corporations and individuals, but also includes $1.2 trillion in cuts to Medicaid and other social programs.
The $1,250-per-person increase in the minimum wage and other changes would make it more difficult for millions of workers to make ends meet.
The Congressional Budget Office said in its preliminary report last month that the $1 tax increase would increase the deficit by $1 billion over a decade.
The Republican-controlled House passed a version of their budget in April that included the $4 trillion tax cuts and a series of tax breaks for the wealthy.
The GOP-led Senate, however, did not include the $5.2-trillion tax cuts in its final version of its budget.
The Trump administration said Wednesday it would veto the $3.2 billion measure.
House Speaker Paul Ryan, R, Wis., also issued a statement criticizing the budget.
“We are in a fight to fix the economy and give working families a fair shot at prosperity,” he said.
The measure would have added $1 to the federal debt, but Trump vetoed the measure before it was approved by Congress.
It also included an increase in defense spending to $54 billion, which House Speaker Nancy Pelosi has called “extraordinarily” high.
The Democrats who opposed the bill said they did not support a “one-size-fits-all” approach to tax cuts.
They said the tax plan would hurt middle-class Americans, as it would raise the costs of prescription drugs and raise the price of health insurance for millions.
They also said the legislation would not address the nation’s health care crises.
Trump has said the measure would create more than 15 million jobs and create $1 in tax revenue for the Treasury each year.