The Latest: House adopts $95 billion budget proposal to fund Iran war and other Trump priorities
News > Top Stories
Audio By Carbonatix
9:04 AM on Wednesday, July 22
By The Associated Press
The House adopted a Republican-only $95 billion budget proposal Wednesday, a long-shot effort to fund the Iran war and other White House priorities over objections from Democrats and a few GOP holdouts in a final push before the midterm elections. House Republicans were divided over the plan, with conservatives wary because there are no offsetting budget cuts. But Speaker Mike Johnson viewed it as the best chance to usher President Donald Trump’s priorities through a split Congress despite skepticism in the Senate.
Trump paid respects to four U.S. service members who were killed in the Middle East and returned to their families at an Air Force base in Delaware. It was the third dignified transfer that Trump has attended since he launched the war in Iran in February.
Earlier in the day, Trump warned Iran that the U.S. will destroy one bridge or power plant each time Iran shoots at a ship in the Strait of Hormuz. The warning came after the U.S. carried out another wave of strikes on Iran, where air defenses opened fire over the capital, Tehran.
Here's the latest:
Diplomatic staff at the British Embassy in Tehran have been temporarily withdrawn amid growing escalations between the U.S. and Iran, including recent strikes in the Iranian capital. The United Kingdom said it was due to “the security situation.”
The country made a similar move in the days leading up to the beginning of U.S. and Israeli combat operations in late February. Other Western embassies have continued to operate in Tehran.
Questions about what prompted the decision were not immediately answered by U.K. officials.
Defense Secretary Pete Hegseth’s new initiative to test and treat troops for low testosterone has prompted a federal judge to question the differences between that kind of testosterone replacement therapy and hormone treatment for transgender men in the military.
U.S. District Judge Ana Reyes in Washington raised the question Wednesday in an ongoing lawsuit against President Donald Trump’s ban on transgender troops. Reyes noted that the ban says “the Armed Forces must adhere to high mental and physical health standards ... without the benefit of routine medical treatment or special provisions.”
Reyes ordered both parties in the lawsuit to address “the similarities and differences in administering TRT, both medically and logistically, for trans men compared to other service members, including cis individuals.”
She also requested information on the Pentagon’s “basis for treating trans men and other service members differently between this new policy and the Military Ban.”
A federal judge is weighing what he says is an unprecedented request by a Native American tribe to block the Trump administration from taking any steps to build 62 miles of border wall across part of its reservation without its consent.
U.S. District Judge Richard Leon in Washington, D.C., did not rule from the bench Wednesday after hearing arguments from attorneys for Tohono O’odham Nation and the federal government. But he appeared to be skeptical that U.S. laws tip in favor of the tribe’s request for a preliminary injunction.
Leon, who was nominated to the bench by Republican President George W. Bush, said he could not find a previous court ruling under comparable circumstances.
The tribe’s 2.8-million-acre reservation in the Sonoran Desert in Arizona abuts the Mexico border.
Justice Department attorney Adam Gustafson said Congress gave the executive branch broad discretion to decide the best way to control the nation’s southwest border.
The U.S. military has announced another night of strikes as both sides are increasingly targeting civilian infrastructure.
The U.S. Central Command once again said the strikes are designed to “further degrade Iran’s ability to threaten civilian mariners and commercial vessels transiting regional waters” as the U.S. pushes to regain control over the Strait of Hormuz and restore the flow of international shipping.
Saudi Arabia could obtain uranium enrichment capability for its civilian nuclear program under a new cooperation agreement with the administration.
Energy Secretary Chris Wright and Saudi Minister of Energy Abdulaziz bin Salman signed it Wednesday along with a related agreement intended to offer nuclear safeguards.
U.S. officials said the deals lay the legal foundation for a decades-long, multibillion-dollar partnership that advances key economic and strategic objectives including nuclear nonproliferation.
The 123 agreement provides access for U.S. companies in the Saudi nuclear energy program, benefiting American industry and workers, while helping to meet Saudi energy needs, the Energy Department said.
The agreement will now be transmitted to Congress for review.
Lawmakers adopted the proposal, a long-shot effort to fund the Iran war and other White House priorities over objections from Democrats and a few GOP holdouts in a final push before the midterm elections.
Republicans were divided, with conservatives wary because there are no offsetting budget cuts. But Speaker Mike Johnson plunged ahead, viewing the go-it-alone process as the best chance to usher Trump’s priorities through a split Congress despite skepticism in the Senate.
The tally was 216-214, with all Democrats opposed.
“Just bullets and bombs to finish the job,” said Rep. Jodey Arrington, R-Texas, chairman of the Budget Committee.
Democrats argued that the money should be spent at home.
“Republicans plan to spend tens of billions of dollars on Trump’s failed war in Iran,” Rep. Pete Aguilar of California, chairman of the House Democratic caucus, said this week. “Think about what we could spend with these resources instead.”
Rick Jackson, the state’s GOP nominee for governor, said Wednesday that he will push for Georgia legislators to approve a state match for the $1,000 in seed money that the federal government is giving to some holders of Trump Accounts.
Babies born from 2025 to 2028 currently receive $1,000 from the federal government in their accounts.
Jackson, a wealthy businessperson and CEO of a healthcare company, said he believes Georgia lawmakers will support that, but “if they don’t, I will personally donate it myself.”
“It changed my life when I got a $100 Christmas gift in an orphanage,” he said.
“The United States of America will never be a communist country,” Trump said, drawing big applause and a chant of “USA, USA.”
“The blue states are all going bad” because communism is a loser, he said. “It’s a loser and it always has been and it always will be.”
The crowd booed enthusiastically when Trump mentioned “your terrible Sen. Jon Ossoff”
“Jon Ossoff and the Democrat communists want to let the Marxists into power, bankrupt your families and leave you totally undefended with wide-open borders,” Trump said.
The president opened his Georgia rally with a joke about running for a third term.
“Well, thank you very much, everybody. It’s a special place, and I am here to announce my candidacy,” the president said at the start of his speech, pausing as the crowd cheered.
After a few seconds, he held up his hand and waved it in front of him slightly. “I’m only kidding,” Trump added.
The president is constitutionally barred from running again in 2028, but has repeatedly suggested he might somehow do so anyway. Sometimes Trump suggests he’s joking, but he’s also said he might lead a constitutional movement to rewrite the Constitution in his favor.
After a nearly half-hour riff on unrelated topics, the president began talking about the subject of Wednesday’s event in Georgia.
“It’s hot as a pistol,” Trump said of Trump Accounts.
He then gave a brief description of how the accounts work, including the $1,000 in seed money that the government awards babies born from 2025 to 2028.
After that initial investment, the value of the account “goes up, and up, and up,” Trump said.
The U.S. president is tweaking his pitch to voters on inflation — wanting credit for the monthly dip in the consumer price index that was caused by energy prices falling due to a ceasefire in the Iran war.
But the ceasefire has failed to endure and oil prices have since jumped, with average gasoline prices at $4.06 a gallon. That’s up 4.3% over the past week and prices at the pump have jumped nearly 29% from a year ago, according to AAA.
Speaking in Georgia, Trump claimed the monthly drop had more to do with his management of the U.S. economy. That claim carries a political risk if the rising energy prices cause inflation to rise this month.
“It was announced just last week that inflation dropped by the largest amount in more than six years,” Trump said. “Because we’re doing it right. We’re running the country properly.”
He told the rally crowd in Georgia, “We’re building a tremendous military facility at the White House. It’s a ballroom, but it’s also a big military facility.”
The president said it would feature a “drone port on top and tremendous things underneath.”
Trump originally said the project, which is expected to cost at least $400 million, would be paid for by himself and wealthy donors. But Trump now says the ballroom is supposed to include White House security upgrades like the drone port.
However, $1 billion in federal funding proposed for White House security upgrades has stalled in Congress.
The president also said crews building the ballroom are working from around 6 a.m. until late in the night, sometimes 11 p.m., and working Sundays.
The president said his visit to Dover Air Force Base on Wednesday for the dignified transfer of four service members was particularly difficult.
“It’s very tough to watch, to be honest with you,” Trump said. “I think it’s the toughest thing I do.”
Trump said he invited the family of 1st Lt. Tyler Feehan to join him on Air Force One on his trip to Georgia, where the family lives.
“We will carry Tyler’s memory in our hearts forever,” Trump said, describing him as a “flawless” person.
“Gonna be your next governor, right here,” Trump said, gesturing toward Jackson, who was right next to the stage.
Trump had endorsed Lt. Gov. Burt Jones in the Republican primary, but was quick to praise Jackson after he won a fiercely fought Republican primary.
Trump congratulated Jackson on social media the day after the primary runoff in June, saying he “very successfully campaigned on being ‘TRUMP,’ and won.”
Leading up to Trump’s arrival, the crowd gathered in a suburban Atlanta high school gym heard from several candidates for statewide office.
They also heard from U.S. Treasurer Brandon Beach, a former Georgia state senator; U.S. Secretary of Education Linda McMahon; Small Business Administration Administrator Kelly Loeffler, a former U.S. senator from Georgia; and Treasury Secretary Scott Bessent.
A friend of Angel Rampersad says the 28-year-old Army sergeant genuinely cared about people and made them feel important and seen.
Deonne Jinkins and Rampersad met in 2024 in Germany, where they served together and became good friends.
On Wednesday, the 22-year-old Jinkins recalled how Rampersad jumped in and set up a weekend celebration for Jinkins’ birthday within weeks of their first meeting.
“The fact that we had barely known each other, yet she showed up for me in such a big way, spoke volumes about the kind of person she was,” Jinkins said over Facebook Messenger. “I’ll never forget what she did for me that weekend.”
Jinkins said her friend “loved deeply, cared genuinely, and always made people feel seen and important.”
Rampersad’s family said in a brief statement she was a “gentle giant” who “stood up for those who couldn’t fight for themselves.”
“She loved her family fiercely and will live on in the hearts of everyone she touched,” the statement said.
The president saluted as four cases draped with American flags were escorted off an airplane during a dignified transfer at Dover Air Force Base in Delaware.
He was joined by administration officials including Defense Secretary Pete Hegseth and Gen. Dan Caine, chairman of the Joint Chiefs of Staff.
Trump was scheduled to meet privately with grieving family members.
The White House said one of the families will be joining on Air Force One later on Wednesday when Trump flies to an event in Georgia, where the family lives.
The Senate Committee on Homeland Security and Governmental Affairs voted 8-4 Wednesday morning to advance Trump’s pick to lead the Federal Emergency Management Agency, Cameron Hamilton.
Hamilton is a former Navy SEAL who briefly led FEMA in a temporary role last year before being fired after defending the agency’s existence. His potential return marks a shift in the Trump administration’s stance toward the disaster agency, after Trump said early in his second term that he was considering eliminating it altogether.
If approved by the Senate, Hamilton would be the first permanent FEMA administrator in Trump’s second term. The agency has seen four temporary leaders and been roiled by upheaval, including the departure of thousands of staff.
Hundreds of former or retired journalists and eight press freedom groups are asking the White House Correspondents’ Association to stand up to the Trump administration’s recent attacks on the media at its rescheduled dinner this week — a dinner President Donald Trump says he’ll attend.
The first dinner was cut short in April when a gunman, who prosecutors say was trying to assassinate Trump, opened fire at the Washington Hilton. The much smaller rescheduled dinner will take place Friday, with enhanced security precautions, at the capital’s Waldorf Astoria Hotel, formerly the Trump International Hotel.
The letter expands on a similar one issued in April, before the first dinner. It notes that since then, “the administration’s attacks on journalists and press freedom have become even more egregious.”
Australian Foreign Minister Penny Wong raised her country’s concern over renewed attacks by the U.S. and Iran in the Middle East, warning that “the situation could deteriorate further without much warning.”
“We want to see an end to this war. We want to see a ceasefire. We want to see negotiations and we want the strait to be opened,” Wong told reporters at the ASEAN summit. The war’s impact on global energy markets has had a direct and personal impact on people, she said.
Southeast Asia’s reliance on fossil fuel imports from the Mideast has made the region particularly vulnerable, according to the International Energy Agency. Asian markets imported about 80% of the crude oil and almost 90% of the liquefied natural gas, or LNG, transiting through the Strait of Hormuz in 2025, the IEA said.
Asked whether the Trump administration’s goal is regime change in Cuba, Rubio told reporters that the U.S. is prepared to be “very realistic” and “patient” about a process of ensuring that the Cuban people “can experience prosperity, safety, security and a better life moving forward.”
Rubio insisted the country’s socialist economic model doesn’t work and that the Cuban government is most interested in holding on to power, not making reforms.
But he said that “we’ll keep talking to them about the kind of changes they can make” because it affects U.S. national security.
“It’s a failed state. But I’ve never laid out any timeline as to what change would look like or when it would happen,” Rubio said.
A plane was carrying food and hygiene kits to Cuba on Tuesday, part of U.S. efforts to directly aid residents.
A barrel of Brent crude, the international standard, was trading at $93.83 at midday Wednesday after briefly topping $95 to touch its highest price in six weeks as the war with Iran continues.
Rising oil prices threaten to reaccelerate inflation, which could push the Federal Reserve and other central banks to raise interest rates, which would slow economies and undercut prices for stocks and other investments.
The yield on the 10-year Treasury rose to 4.65%, helping to bring long-term U.S. mortgage rates to their highest levels in nearly a year. The yield was 3.97% before the war.
The auto club AAA said Wednesday that the average price for a gallon of regular gas in the U.S. jumped again overnight to $4.06. It had been below $3 before the United States and Israel attacked Iran.
The four U.S. service members were identified by the Defense Department:
1. 1st Lt. Tyler James Feehan, 25, of Ewa Beach, Hawaii
2. Pvt. Isabella Gonzales, 19, of Carrollton, Texas
3. Sgt. Angel Rampersad, 28, of Ozone Park, New York
4. Army Sgt. Michael Emmanuel Swinton, 30, of Spring Lake, North Carolina
Since the war began on Feb. 28, 18 U.S. service members have been killed.
Trump is at Dover Air Force Base, participating in the return of the remains of four U.S. service members killed in the Middle East.
Asked for his message to their families before he departed Joint Base Andrews, Trump said, “All I’m going to say is, ‘we love you. We love your child.’”
“All you can do is throw out your heart,” he said.
The Friday ceremony celebrating the opening of the Gordie Howe International Bridge connecting Detroit and Windsor, Ontario, is no longer expected to take place after Trump announced a pending 50% tariff on most Canadian goods.
“In light of trade action threatened by the United States earlier this week, it would be inappropriate to proceed,” emailed Jenna Ghassabeh, a spokesperson for Canadian Infrastructure Minister Gregor Robertson.
U.S. and Canadian officials had reached an agreement to open the $4.4 billion bridge, which Canada financed under an agreement allowing it to recover the cost through toll revenue. Canada now plans its own ceremony Friday.
Two U.S. officials who spoke on the condition of anonymity to discuss internal deliberations said they still expect the bridge to open to traffic July 27 but are less certain than they were before.
— Joey Cappelletti
Rubio was asked about the risk of the U.S. signing an agreement with a Middle Eastern country that does not include the “gold standard” promise to refrain from enriching or reprocessing uranium.
Rubio said he would not “opine directly on that agreement” with Saudi Arabia, but then said “the U.S. is not going to reach any agreement with any country in the world that leads to the risk of proliferation.”
When asked by reporters on Wednesday in the Philippines about the nuclear deal with Saudi Arabia, the secretary of state didn’t deny the approval was coming and instead said, “I’ll let the White House officials sort of put out an official statement about anything in regards to that.”
Stumbling a bit in his response, Rubio also said: “I’d prefer it be, you know, put out when there is something to say that we will say through official channels.”
Rubio said Iran’s missiles and drones being used in strikes now are “exactly the conventional shield that they were going to hide behind to pursue a nuclear program.”
He said that capacity is “greatly diminished” but that a year from now, Iran would have had so many missiles and drones serving as a shield that it “would have given them immunity to do whatever they wanted.”
He kept some hope alive for renewed talks, saying the U.S. remains open to negotiations, “but right now they don’t seem to be serious about that” so instead the focus is on protecting shipping.
“We think other countries should join us in that endeavor. We don’t need them to, but they should because they’re more impacted by it than we are.”
Rubio, who doubles as Trump’s national security adviser, was asked Wednesday whether China and Russia are giving targeting information to Iran.
“All I would say is that, you know, anytime you’re in a combat zone like that, there’s danger associated with it,” Rubio said. “At the end, this actually proves the point that this is what Iran has been investing its money in.”
When pressed again by a reporter, Rubio said, “I’m not going to discuss that, other than to say that nothing that’s happened, nothing that China has done has in any way changed the trajectory of the outcome, of what you’re seeing in terms of the conflict that we’re having with Iran.”
Rubio said China has been quite cooperative in some ways, such as publicly opposing what Iran is trying to do in the Strait of Hormuz.