House Republicans on Wednesday introduced a $95 billion budget framework focused on increasing defense spending and providing additional support to farmers, marking their third attempt at budget reconciliation during the current Congress. The plan underscores ongoing challenges within the party to pass substantial spending and tax reforms despite holding a narrow majority in the House.

Budget reconciliation allows legislation related to spending and taxes to pass the Senate with a simple majority, circumventing the usual 60-vote threshold. Democrats previously utilized this process to enact a $1.9 trillion pandemic relief package and the Inflation Reduction Act. For Republicans, reconciliation has been a rare path to legislative success, enabling them to pass a tax bill last summer and fund enhanced immigration enforcement in June after Senate Democrats blocked such measures through regular appropriations.

The GOP faces increasing pressure with just one remaining reconciliation opportunity before the midterm elections, potentially its last chance to enact major legislation without bipartisan support for years. However, the newly proposed budget framework offers modest increases in spending, signaling reluctance to pursue more ambitious proposals.

The plan, led by House Budget Chair Jodey Arrington, allocates approximately $73 billion for defense and intelligence, alongside $12 billion in farm aid and $10 billion designated as election grants to states. Defense spending falls significantly short of the $350 billion boost outlined in President Donald Trump’s spring budget proposal, focusing mainly on replenishing munitions and covering military pay rather than investing in long-term industrial base restoration.

The $12 billion farm aid package is intended to assist those adversely affected by previous tariffs and inflation but adds to $12 billion in assistance already provided by the current administration, prompting criticism of duplication. The inclusion of $10 billion in election grants appears aimed at encouraging states to implement measures consistent with provisions in Trump’s SAVE America Act, though experts express skepticism that this funding will lead Democratic-led states like California to tighten voting regulations.

Absent from the proposal are significant tax reforms and efforts to foster economic growth. Analysts note opportunities such as indexing capital gains taxes for inflation—particularly on home sales to aid seniors downsizing—or increasing income thresholds for the 3.8% net investment income tax under the Affordable Care Act, which currently affects individuals with incomes above $200,000 and couples above $250,000 but is not inflation-adjusted.

The party’s cautious approach seems driven by an internal calculus about the difficulty of securing caucus support for spending offsets. Yet some policy analysts argue that targeted reforms could yield savings, such as equalizing Medicare payments to hospitals and physician offices, a disparity that has incentivized industry consolidation. Additional reforms might include adjusting federal Medicaid matching funds for able-bodied adults covered under both traditional Medicaid and the ACA, as well as requiring states to cover costs for enrollees later deemed ineligible.

While Arrington faced challenges uniting differing factions within the Republican caucus, critics say the limited scope of the reconciliation proposal highlights the GOP’s struggle to articulate a cohesive governing agenda. As lawmakers prepare to campaign ahead of the November midterms, the subdued budget plan offers little evidence of robust policy ambitions within the party.