The One Big Beautiful Bill:  Good for Mississippi, Good for America

The One Big Beautiful Bill Act makes Mississippi and the United States safer, stronger, and more prosperous. This new law stopped Mississippians from being hit with the largest tax increase in American history and brings certainty and opportunity to Main Street and manufacturers by making critical business tax provisions permanent.

Here’s how the One Big Beautiful Bill delivers for Mississippians.

TAX CUTS FOR MISSISSIPPIANS

If the 2017 tax cuts had expired: 

  • The average Mississippi household’s taxes would increase by $1,570 in 2026.
  • 1,144,030 families would have seen their standard deduction halved.
  • 352,000 families would see their Child Tax Credit cut in half – from $2,200 to $1,000. 
  • 139,740 Mississippi small business owners would lose their 20 percent small business tax deduction.  Small businesses represent 99.3 percent of Mississippi businesses.
  • 46,000 manufacturing jobs would have been lost.
  • $388 million investment in Mississippi’s Opportunity Zones would have been put at risk.
  • 31,290 family-owned farms across Mississippi would have seen their death tax exemption cut in half.

In addition to saving Mississippians from a disastrous multi-billion-dollar financial hit, the One Big Beautiful Bill reinforces critical tax reform measures that will allow Americans to keep more of their hard-earned money.

TAX CUTS FOR FAMILIES & WORKERS

Expanding the Child Tax Credit and Fighting Fraud
Not only does the One Big Beautiful Bill prevent the Child Tax Credit from being cut in half, it permanently expands the credit to $2,200.  Additionally, the credit will now be tied to inflation, allowing it to grow automatically as the cost of living rises.  The law also includes a provision from Senator Hyde-Smith’s Saving American Workers’ Benefits Act, which strengthens eligibility requirements to combat the billions of dollars of fraudulently claimed credits by illegal immigrants.

Protecting the Standard Deduction 
The standard deduction is claimed by over 90 percent of taxpayers.  The 2017 Trump tax cuts increased and enhanced the standard deduction to help more Mississippians keep more of their hard-earned money.  With the One Big Beautiful Bill, Republicans in Congress and President Trump make this increase permanent.

No Tax on Tips
The One Big Beautiful Bill eliminates taxes on tips, allowing for employees in restaurants, personal service, hospitality, and other industries to keep more of the money they earn.

No Tax on Overtime
The One Big Beautiful Bill eliminates burdensome taxes on overtime that hurt many Mississippi workers, like those employed in manufacturing, construction, healthcare, and other industries. 

Supporting Childcare
​​​​​​​The One Big Beautiful Bill enhances the Employer-Provided Childcare Tax Credit and boosts childcare assistance to help Mississippi families.

Tax Relief for Gig Workers
The One Big Beautiful Bill benefits gig workers and independent contractors by repealing Democrats’ burdensome Internal Revenue Service reporting requirements, which would have required any transaction over $600 to be reported.  Instead, the bill increases the 1099-MISC threshold to $20,000 and 200 transactions, reducing the paperwork burden on small businesses and workers.

Charitable Contributions
The One Big Beautiful Bill creates a permanent deduction for charitable contributions made by individuals who do not elect to itemize.  Before, only taxpayers who elected to itemize could receive a deduction for charitable contributions.

TAX CUTS FOR MAIN STREET

Permanent Small Business Deduction 
Small businesses are the backbone of Mississippi’s economy, constituting 99.3 percent of all businesses.  Making the small business tax deduction permanent will enable job creation and spur local economic activity.  Mississippi farmers who rely on this deduction will benefit, too.

Permanent Pro-Growth Policies 
To spur greater domestic innovation, the One Big Beautiful Bill restores and makes permanent critical business provisions, like full expensing for domestic research and development.  To boost domestic production, the bill allows for full expensing for new capital investments, like machinery and equipment.  Importantly, these expensing provisions will also help farmers by allowing for the expensing of tractors, combines, and other equipment.

Standing with Rural Communities
About half of all Mississippians live in a rural area.  To support these communities, the bill permanently renews and enhances the Opportunity Zone program, driving $100+ billion of investment to rural and distressed communities.  There are 100 designated Opportunity Zones in Mississippi.

  • The bill makes permanent the New Market Tax Credit, which should help increase investment in rural and underserved areas of Mississippi.

Reinvigorating American Manufacturing
The One Big Beautiful Bill allows for full expensing for new factories and factory improvements to accelerate domestic manufacturing.  This supports President Trump’s efforts to restore domestic manufacturing and production.

Ensuring American Energy Dominance
The One Big Beautiful Bill will work to ensure American energy dominance, reduce the deficit, streamline domestic production, and repeal wasteful Green New Deal spending.  Overall, the bill will generate an estimated $15 billion in federal revenue through expanded oil, gas, coal, and geothermal leasing, while also ensuring rural counties receive a share in renewable revenues.

Important to Mississippi, the bill restores lease sales in the Gulf of America, requiring two leases per year through 2039.  It also raises the cap that Mississippi, Alabama, Louisiana, and Texas receive on offshore revenues to $650,000 through 2034 and then $500,000 through 2055.

The One Big Beautiful Bill also:

  • Restores quarterly lease sales and commonsense permitting timelines for domestic energy producers, while cutting royalty rates to make U.S. production globally competitive again.
  • Funds the Strategic Petroleum Reserve with American energy, not foreign imports.
  • Repeals billions of dollars in unspent Green New Deal handouts, including $6 billion in Biden's unused climate slush funds.
  • Imposes a 10-year moratorium on the Biden “methane tax,” an inflationary tax on natural gas that would have led to gas price hikes.
  • Streamlines the National Environmental Policy Act (NEPA) process with a new fee-based system.

STANDING WITH FARMERS

The One Big Beautiful Bill offers a critical safety net for family farmers, so they can continue producing an abundant supply of food and fuel for America.  It also reduces waste, promotes state accountability, and helps Supplemental Nutrition Assistance Program (SNAP) recipients move toward greater independence through work, education, and training opportunities.

Providing certainty for farmers 
In Mississippi and across the country, farmers have been operating under vastly outdated policies from the 2018 Farm Bill.  As advocated for by Senator Hyde-Smith, the One Big Beautiful Bill modernizes the farm safety net and responds to current market factors by significantly increasing reference prices and crop insurance subsidies.

  • Reference Prices:  The bill increases reference prices for all covered commodities and boosts the effective reference price escalator for the 2025 through 2031 crop years.
  • Crop Insurance:  The bill provides more affordable crop insurance for beginning farmers and ranchers for the first 10 years of farming, and it increases the coverage level and affordability of certain crop insurance policies.  To ensure long-term stability, the bill invests in efforts to maintain the accessibility and affordability of crop insurance nationwide, while investing in more reviews, compliance, and integrity. 
  • Disaster Assistance Programs:  The bill expands access to standing disaster programs, the noninsured disaster assistance program, and conservation programs for producers generating most of their income from farming, ranching, or forestry.  This will benefit livestock, poultry, and catfish producers in Mississippi.
  • Animal Disease Infrastructure:  The bill increases funding to tackle current disease outbreaks and prevent future outbreaks that impact American herds and flocks.

Rolling Back the “Death Tax”
The One Big Beautiful Bill permanently boosts the death tax exemption, raising it from $14 million to $15 million for individuals and from $28 million to $30 million for couples.  Absent this action, the prior exemption rate would have been automatically cut in half on December 31, 2025.  The law aligns with Senator Hyde-Smith’s HERITAGE Act to help families preserve their farms and ranches after a death.

Growing Global Trade
The One Big Beautiful Bill makes significant investments in promoting of American commodities and agricultural products abroad, helping expand access to foreign markets.  It also bolsters funding for agricultural research to help close the gap with our foreign competitors.

Rooting Out Waste, Fraud, and Abuse
The One Big Beautiful Bill promotes state accountability and helps those who receive Supplemental Nutrition Assistance Program (SNAP) benefits move toward greater independence through work, education, and training opportunities.  Exemptions to work requirements are extended to parents/guardians of children 14 or younger, caregivers, individuals struggling with addiction, pregnant women, disabled veterans, and those in areas with high unemployment.

Conservation and Research
In addition to providing sustained investment in agricultural research facilities, the One Big Beautiful Bill increases the baseline funding for popular conservation programs by more than $16 billion, representing an approximately 35 percent increase.

  • These programs include:  Environmental Quality Incentives Program (EQIP); Conservation Stewardship Program (CSP); Agricultural Conservation Easement Program (ACEP); and Regional Conservation Partnership Program (RCPP).

Fighting New World Screwworm and Highly Pathogenic Avian Influenza
The One Big Beautiful Bill invests in U.S. Department of Agriculture premier animal health programs that defend against livestock disease outbreaks, like New World Screwworm and Highly Pathogenic Avian Influenza.  These programs include the National Animal Health Laboratory Network, the National Animal Disease Preparedness and Response Program, and the National Animal Vaccine Bank.

PRESERVING MEDICAID

Republicans are improving and preserving Medicaid for those who need it while enacting specific checks to root out waste, fraud, and abuse.  These reforms will help ensure the program’s integrity so it remains available to those who rely on these crucial benefits.  Vulnerable populations will not lose access to coverage.

There is nothing in the One Big Beautiful Bill that will affect Mississippians living with disabilities, children living in poverty, or seniors who rely on Medicaid.

Even with these reforms, spending on Medicaid is projected to grow by billions of dollars over the next 10 years.  Only in Washington is a smaller increase in funding considered a cut.

Encouraging Accountability

Having a job gives individuals purpose and dignity, and the federal government should promote policies that lift people out of poverty.  The One Big Beautiful Bill establishes commonsense work requirements for able-bodied adults to qualify for Medicaid, along with reasonable exemptions.

This approach has a proven track record of success.  After work requirements were enacted in the 1990s through bipartisan welfare reform, welfare rolls and poverty rates went down, while employment and earnings went up.

  • Commonsense Work Requirements:  To receive taxpayer-subsidized Medicaid coverage under the bill, able-bodied adults between the ages of 19 and 64 can work at a job, participate in a work training program, enroll in school, or volunteer for 80 hours per month.
  • Reasonable Exemptions:  The law includes a long list of individuals exempted from work requirements, including:  pregnant mothers, a caregiver or parent, those under 19 or over 65 years of age, the medically frail (blind, disabled or living with a serious and complex medical condition like cancer), individuals with a substance use disorder or a disabling mental disorder, veterans with a disability rated as total, those who meet work requirements for SNAP or Temporary Assistance for Needy Families (welfare), or other “good cause” reasons.

Protecting Rural Health Care 
The One Big Beautiful Bill includes $50 billion for a Rural Health Care Transformation Fund to ensure hospitals, nursing homes, community health centers, and other rural providers can continue serving their communities and improve care. 

Improving Access to Home and Community-Based Services
The One Big Beautiful Bill allows states to offer home and community-based services (HCBS) to a broader range of individuals, such as those with developmental disabilities, while ensuring that these changes do not adversely impact those already eligible.  It also enables interim HCBS coverage while newly eligible individuals develop their full care plan. 

Rooting Out Waste, Fraud and Abuse
Wasteful spending drains resources for people in dire need of federal safety nets and puts an unfair burden on taxpayers.  In fact, Medicaid spending increased more than 50 percent over five fiscal years since 2019, fueled by Biden administration changes that kept ineligible enrollees on the program.  Improper Medicaid payments totaled $1.1 trillion from 2014 through 2024.

The One Big Beautiful Bill strengthens and restores integrity to Medicaid by:

  • Preventing Medicaid payments for beneficiaries who have died, are enrolled in multiple states, or do not qualify for the program.
  • Increasing the frequency of eligibility verifications for able-bodied adults.
  • Prohibiting states from waiving asset tests for long-term services, and removing individuals from Medicaid rolls who have homes worth more than $1 million.
  • Ensuring illegal immigrants do not receive Medicaid benefits.
  • Ending Medicaid financing gimmicks that increase federal spending by freezing and reducing provider taxes.
  • Prohibiting taxpayer-funded Medicaid payments for abortion services.

Rolling Back Onerous Nursing Home Staffing Requirements
This bill eliminates the Biden administration’s unworkable one-size-fits-all staffing requirements on nursing homes and other long-term care providers, which, if not repealed, could lead to Mississippi nursing homes becoming ineligible for Medicaid reimbursement and being forced to close.

Securing Access to Telehealth Services
The bill includes a fix to allow Americans to access telehealth services before their deductible is met.  Making this flexibility permanent will preserve access to essential virtual care options for more than 32 million Americans with health savings account-qualified high-deductible health plans, especially for those in rural, underserved, and workforce-dense communities.

STRENGTHENING BORDER SECURITY AND FIXING THE IMMIGRATION SYSTEM

More than 10 million illegal immigrants crossed the southern border during the last four years, more than three times Mississippi’s population.  President Trump has already brought illegal border crossings down to historic lows, and under his leadership, year-over-year border apprehensions have dropped 90 percent.

The One Big Beautiful Bill provides a total of $175 billion as a historic investment in strengthening and improving the U.S. border security and immigration system.  It also gives front-line immigration enforcement officials the tools they need to recover from the Biden administration’s dangerous open-border crisis.  This funding includes:

  • $46.5 billion for Customs and Border Protection for construction of the border wall.
  • $45 billion for expanding ICE detention capacity.
  • $4.1 billion for border patrol agents, air and marine agents, and field support personnel.
  • $6 billion for border technology and screening upgrades.
  • $10 billion in grant funding to reimburse states for border security expenses.

Finishing the Wall, Securing the Border
The One Big Beautiful Bill provides $46.5 billion for border wall construction and associated infrastructure, such as access roads, cameras, lights, and sensors.  It will improve border surveillance, including air and marine operations and efforts to combat drug trafficking and human smuggling.  The law also:

  • Invests in the detention of illegal immigrants taken into custody pending removal, and
  • Supports funding to hire more Border Patrol agents.

Investing in Immigration Enforcement 
The One Big Beautiful Bill boosts resources for the U.S. Department of Homeland Security (DHS) to increase staffing and enhance migrant screening and vetting processes, including background checks for illegal immigrants.  The bill also:

  • Allocates funding for Immigration and Customs Enforcement (ICE) to enhance the recruitment and retention of staff and to support enforcement and removal operations.
  • Provides funding for the U.S. Department of Justice (DOJ) to hire more immigration judges to address the years-long backlog of immigration petitions, cases, and removal orders, and to investigate and prosecute immigration matters, including cartel and gang-related crimes.

Reimbursing States for Border Security Expenses
The One Big Beautiful Bill provides $10 billion for the Bridging Immigration-related Deficits Experienced Nationwide (BIDEN) Reimbursement Fund to help Mississippi and other states recover for the funds spent on the investigation, location, apprehension, or temporary detention of criminal illegal immigrants from Jan. 20, 2021, through Sept. 30, 2028. 

  • The BIDEN Reimbursement Fund would also cover the costs inflicted on local courts that prosecuted crimes committed by illegal immigrants, including drug and human trafficking. 

Combatting the Fentanyl Scourge
The One Big Beautiful Bill funds DOJ efforts to combat drug trafficking and precursor chemicals to protect America’s communities and crack down on the flow of deadly drugs.  Fentanyl poisoning kills roughly 150 Americans per day. 

Helping Victims of Undocumented Immigrant Crime
The One Big Beautiful Bill strengthens the DHS Victims of Immigration Crime Engagement (VOICE) Office by ensuring it has resources to continue to provide nonfinancial assistance and resources to individuals victimized or harmed by criminal illegal migrants. 

Protecting Vulnerable Youth 
The One Big Beautiful Bill contains a provision to help protect illegal immigrant children from exploitation by providing funds to fingerprint and collect DNA from illegal migrants attempting to enter the United States without a valid visa.  Earlier this year, the DHS Office of Inspector General (OIG) confirmed failures within the U.S. Department of Health and Human Services unaccompanied migrant children program, an issue Senator Hyde-Smith has consistently warned about as the Biden border crisis unfolded.

SUPPORTING LAW ENFORCEMENT 

The One Big Beautiful Bill stands with the men and women of law enforcement who put their lives on the line to keep our communities safe.  The bill:

  • Funds the Edward Byrne Memorial Justice Assistance Grant Program (Byrne JAG) and Community Oriented Policing Services (COPS) to support boots-on-the-ground efforts to combat violent crime in local communities.  State and local governments must be in full compliance with federal immigration laws to receive additional funding made available in this package.
  • Supports the ICE 287(g) program, which helps expand the federal government’s ability to enforce immigration laws through the supervised support of willing state and local law enforcement jurisdictions.
  • Provides additional funding for the U.S. Bureau of Prisons to address mounting staff shortages and deferred capital improvements to detention structures.
  • Funds law enforcement training centers, such as the Federal Law Enforcement Training Center (FLETC) and ICE training resources.

REDUCING EDUCATION COSTS

The One Big Beautiful Bill will improve access to higher education and workforce training to help ensure American workers and youth have the skills to compete in a 21st-century economy.

Enhances Access to Aid and Workforce Training
The One Big Beautiful Bill, as Senator Hyde-Smith has advocated, authorizes Pell Grants for short-term workforce training programs to increase access to career or technical-based education.  This will help more Mississippians acquire the training they need to earn good-paying jobs in any number of growing industries in the state. 

  • It also enhances 529 savings accounts to make education more affordable for families.

The One Big Bill Beautiful Bill also fixes the cash-poor, asset-rich penalty in the federal student financial assistance application process.  The fix, which Senator Hyde-Smith previously fought for, will ensure family farm and small business assets do not count against federal financial aid eligibility, which will help more children from farming and small business families be treated more fairly.

Rolls Back Biden’s Student Loan Socialism
The One Big Beautiful Bill rolls back President Biden’s student loan schemes that transferred student loan debt onto the 87 percent of Americans who chose not to go to  college or already paid off college loans.

  • The bill also prevents taxpayer-subsidized loans for degrees that leave students worse off than if they had never gone to college.

STRENGTHENING NATIONAL SECURITY

The Big Beautiful Bill makes a historic investment in the primary responsibility of the federal government:  Providing for the national defense.  The bill delivers a $150 billion down payment for rebuilding, modernizing, and strengthening our national defense, a challenge that will require significant work in Mississippi.

Landmark Down Payment to Modernize America’s Military
The One Big Beautiful Bill provides resources to:

  • Expand the size and capability of our naval fleet to maintain and grow maritime dominance, including $29 billion to support shipbuilding and maritime industrial base expansion.
  • Accelerate the delivery of next-generation aircraft and autonomous systems for enforced air superiority with a $9 billion investment.
  • Funds President Trump’s Golden Dome layered missile defense shield, providing $25 million to protect the nation.
  • Increase the purchase of the most important munitions and expand capacity in the industrial base, including $16 billion to improve readiness.
  • Upgrade the readiness of the American nuclear deterrent by investing in infrastructure required to manufacture nuclear weapons, including $15 billion to accelerate modernization of the triad.
  • Improve service members’ quality of life, including pay raises and increases to housing, health care, childcare, and education, with $9 billion allotted for service member quality of life needs.

Additionally, the One Big Beautiful Bill includes:

  • $4.3 billion for the procurement of U.S. Coast Guard Polar Security Cutters, which are built by Bollinger Shipbuilding in Pascagoula.  Overall, $24.6 billion is provided to improve the Coast Guard fleet of cutters, aircraft, and drone systems while fixing aging docks, hangars, and facilities.
  • $120 million for infrastructure modernization projects at the John C. Stennis Space Center in Hancock County, where engine tests for the Space Launch System (SLS) Artemis missions occur.  The bill provides $4.1 billion to support SLS Artemis, the mission to return humans to the moon and, eventually, Mars.
  • $12.5 billion to overhaul air traffic control communications and infrastructure.

Pentagon Audits
The One Big Beautiful Bill upgrades and modernizes U.S. Department of Defense (DOD) business systems to enable the Department to finally achieve a clean audit.  It also provides additional funding for the Pentagon Office of Inspector General to provide continued oversight of DOD spending.