How the Senate Strategy Known as Reconciliation Works

President Joe Biden advanced a sweeping economic stimulus plan that would pump $1.9 trillion into the economy in the form of direct household assistance, jobless benefits and money for vaccine distribution, schools and child care. His hopes for bipartisan support in the Senate, where a 60-vote supermajority is needed to pass most legislation, were swiftly dashed. But there’s an alternate route: a fast-track process known as budget reconciliation, under which Democrats could use their slimmest-possible majority to pass at least parts of the bill on their own.

It’s a procedure created by the Congressional Budget Act of 1974 that allows for expedited consideration of legislation related to spending, taxing and the federal debt limit. First, the House and Senate must agree to a budget resolution, which contains instructions to specific committees in each chamber and usually includes a deficit impact. Then, bills advanced in the name of “reconciling” tax and spending practices with that budget resolution need only a simple majority vote to win approval in the 100-seat Senate, rather than the 60-vote supermajority required to pass most measures. There are limits on what qualifies for reconciliation and on how many bills can be deemed as reconciliation each year.