How Congress Has Used 'Reconciliation' Most Recently

Reconciliation is a two-stage process in which reconciliation instructions are included in the budget resolution directing the appropriate committees to develop legislation achieving the desired budgetary outcomes, and the resultant legislation (usually incorporated into an omnibus bill) is considered under expedited procedures in the House and Senate.

Most notably, reconciliation allows the bill to bypass the filibuster in the Senate, meaning it can pass with simple majorities in both chambers. Reconciliation bills can only deal with spending, revenue, and the federal debt limit. Policy changes that are extraneous to the budget are limited by the "Byrd Rule", which also prohibits reconciliation bills from increasing the federal deficit after a ten-year period or making changes to Social Security. Generally speaking, the process can be used just once per fiscal year.

Recent uses:

According to the Congressional Research Service, Congress first used the reconciliation process in 1980. From 1980 to the present, Congress has passed 27 reconciliation bills, 23 of which were signed into law. Of the four that were not signed into law, President Clinton vetoed three and President Obama vetoed one. 

Recent notable uses of the reconciliation process include:

—2017, the Tax Cuts and Jobs Act. Arguably, this was the signature achievement of President Trump in his first term.

—2021, the American Rescue Plan Act (ARPA). This was the first major legislative achievement of the Biden presidency, in response to the pandemic.

—2022, the Inflation Reduction Act. This law aimed to address climate change, lower energy costs, and reduce the federal deficit. It included the largest US investment in clean energy.