With a slim majority in the Senate, Republicans have signaled their intent to use Budget Reconciliation this year as a mechanism for passing law.

With lots of questions circling about what is and what could be in or out for Budget Reconciliation, here’s what you need to know:

  • Budget reconciliation is a legislative process that Congress can use once per fiscal year to pass legislative provisions directly affecting taxation, federal revenue, and/or the debt limit through an expedited legislative process.
  • It is one large bill, made up of proposals from Congressional Committees.
  • Any legislation within Budget Reconciliation is subject to the “Byrd Rule,” which prevents any provisions that do not have a budgetary impact from being included in the final bill.
  • Ultimately, the Senate parliamentarian determines which provisions meet the requirements of the Byrd Rule, often based on the Congressional Budget Office’s estimates of financial impact. In other words, it isn’t always up to members of Congress if some provisions ultimately make it in the final bill.
  • Budget reconciliation legislation cannot be filibustered and only requires 51 votes to pass in the Senate (or 50 + Vice President J.D. Vance’s in the event of a tie), allowing policy proposals to pass with a simple majority, rather than the 60 votes often required to pass legislation.

Republicans are looking to Budget Reconciliation to pass postsecondary priorities.

It is no secret that Republicans are hoping to pass provisions of the College Cost Reduction Act (CCRA), a bill introduced by Rep. Virginia Foxx (R-NC) last Congress to reauthorize the Higher Education Act. The bill includes various provisions on topics ranging from revenue sharing to institutional-risk sharing. 

In early 2025, W/A asked those close to the policymaking process in our Education Insiders survey whether they expect provisions of CCRA to be included in budget reconciliation—nearly 60% answered in the affirmative. 

Neither chamber has released the reconciliation instructions that would formally trigger the budget reconciliation process, but W/A will continue to monitor for updates.