Palmer Supports OBBB; Defends Tax Cuts, Medicaid Provisions

U.S. Representative Gary Palmer (R-AL6) cast his vote in favor of H.R. 1, the “One Big Beautiful Bill Act (OBBB),” a sweeping Republican tax package that extends Trump-era tax cuts and makes several changes to the tax code and federal entitlement programs. The bill passed the House 218–214, and now heads to President Trump’s desk for final approval.

“I voted for this bill to prevent families from facing a $4 trillion tax hike,” Palmer said in a statement following the vote. “This bill extends President Trump’s 2017 tax cuts that provided economic relief to American families. Without this bill, a family of four could see a $1,695 tax increase, the average taxpayer would see a 22% tax hike, and families would see their child tax credit cut in half.” He also praised the bill’s provision to eliminate federal taxes on tips and overtime pay, saying, “With the provision of no tax on tips or overtime included in this bill, take-home pay for hard working families could increase by over $10,000 per year, and working families making between $15,000 and $30,000 would see their taxes cut by 23%.”

Palmer also addressed concerns over proposed Medicaid reforms in the bill, which have drawn sharp criticism from Democrats and some public health advocates. “In regard to Medicaid, the Democrats have been lying to the American people to invoke fear,” Palmer said. “Those who are legally eligible for Medicaid will not have their coverage affected by this bill. The bill actually protects Medicaid for the truly needy, children, seniors, and individuals with disabilities.” He added, “There is more that needs to be done to help states fix Medicaid, and I will continue to push sensible reforms.”

The Congressional Budget Office (CBO), however, has estimated that up to 17 million Americans could lose Medicaid coverage under the bill’s new eligibility rules and work requirements. Democrats have argued that the bill undermines healthcare protections for vulnerable populations and places new burdens on lower-income Americans.

Palmer framed the legislation as part of a broader effort to spur growth and reduce government waste. “The reforms in this bill are just a start,” he said. “I look forward to the next opportunity to pass fiscally sound legislation that will strengthen our economy, ensure our national security, and help all American families.”

The CBO projected the bill will increase the national deficit by roughly $3.3 to $3.4 trillion over the next decade. Much of the cost stems from extending the individual tax cuts first passed under the 2017 Tax Cuts and Jobs Act, which were set to expire in 2025. According to Time, critics argue the cuts disproportionately benefit the wealthy and corporations, while ballooning the federal deficit.