Welcome to The Daily Politic Briefing! Good morning and thank you for joining us on this edition of The Daily Politic Briefing, where we bring you the most significant political developments from Washington and beyond. Today, we have a packed agenda covering critical legislative battles, budget negotiations, and policy disputes that are shaping the national conversation as lawmakers race against the clock before the July 4th recess. Today's Headlines In today's briefing, we'll examine the high-stakes tax disputes in the Republican megabill, track the busy House and Senate schedules, analyze the upcoming vote on President Trump's rescissions package, dive into contentious policy battles from Medicaid to AI regulation, and catch up on the latest political movements in Washington. Tax Disputes in Republican Megabill Senate Majority Leader John Thune and Finance Republicans are heading to the White House today for a critical meeting with President Trump. They're attempting to resolve several thorny tax policy disputes that have been holding up the Republican megabill. At the center of these discussions are business tax incentives, which some members have described as a "red line" that must be made permanent. The controversial $40 billion "no tax on tips" proposal is also on the agenda. Clean-energy tax credits have emerged as another flashpoint, with senators like Tillis, Murkowski, Curtis, and Moran pushing back against full-scale repeal efforts. The SALT deduction cap remains contentious as well. While the House is advocating to increase it to $40,000, the Senate appears likely to scale back this proposal significantly. Despite these challenges, Senator Thune expressed confidence that committee bill texts would be ready by next week, with a vote planned before the July 4th recess. Busy Legislative Schedule Both chambers of Congress are in full swing today. The House is in session with votes scheduled on opioid crisis legislation, while Republicans and Democrats hold their separate weekly conference meetings. The committee schedule is particularly packed. The Appropriations Committee will examine the FAA budget and OMB budget with Russ Vought testifying. Armed Services will review the Army's fiscal posture, while Agriculture and Financial Services committees take on digital assets. Other key hearings include Oversight's examination of Defense Department fraud, Foreign Affairs' discussion of NATO challenges, and Energy and Commerce's look at illegal robocalls. Meanwhile, the Senate will vote on several nominations, including Michelle Bowman for Fed vice chair. Senate committees will hold hearings on the Commerce budget, transnational criminal organizations, and China's influence in Africa. Budget Battles and Rescissions House Republicans are preparing for a significant vote next week on President Trump's $9.4 billion rescissions request. Appropriations Chair Tom Cole characterized this as "a big test case" for Congress's appetite to codify cuts proposed by the Department of Government Efficiency, or DOGE. Interestingly, this package will bypass the normal committee process and go straight to the floor, following negotiations between top GOP appropriators and the White House. OMB Director Russ Vought is scheduled to testify before the House Appropriations Committee today, where these matters will likely be addressed. Policy Debates Heating Up Several major policy debates are reaching critical junctures. On Medicaid, Senator Justice has now voiced support for freezing new provider taxes, though concerns remain among other lawmakers. A proposed 10-year ban on states enforcing artificial intelligence laws is facing significant pushback from Democrats and some Republicans who worry about overriding state authority. The cryptocurrency sector is watching closely as the Senate is expected to introduce new legislation this month that could reshape digital asset regulation. Defense Department spending is under in