Senate Republicans released the full text of their health care bill, which is meant to be the first step in repealing former President Barack Obama’s Affordable Health Care Act, otherwise known as Obamacare. The bill calls for deep cuts to Medicaid and ending the mandate that all Americans have health insurance. The bill would create a federal tax credit system that helps people pay for health insurance while allowing states to choose which benefits insurance must cover, ending Obamacare mandates to cover things like mental health and maternity care, according to a Thursday report from the New York Times.

The House passed their version of a healthcare bill that would begin to replace the Affordable Care Act last month.

READ: Can You Stay On Your Parent’s Health Insurance? The Secretive Senate Obamacare Repeal

The Senate bill differs from the House version in that it does not allow states to opt out of covering people with certain types of pre-existing condition and it doesn’t allow insurers to charge more for people with pre-existing conditions, CNN wrote Thursday.

Both bills phase out extra money the federal government has provided to states as an incentive to expand Medicaid. Both Bills would curtail Medicaid, giving it limits, ending open entitlement.

The bill would also cut taxes on the wealthy that helped pay for the Affordable Care Act, the cuts in taxes would be paid for by cuts to Medicaid.

The bill also calls for cuts to Planned Parenthood for one year. Subsidies that are provided for people that don’t get insurance through work remain in place, but eligibility will become tighter, covering fewer people, and the subsidies would be smaller.

The deep cuts to Medicaid project to shrink the federal budget deficit.

The bill was designed to be considered a budget reconciliation instead of new legislation, and thus would need only a simple majority of Senate to pass the bill, as opposed to the customary 60 vote majority. The current make-up of the Senate is 52-48 in favor of Republicans.

Republican Senate Majority Leader Mitch McConnell said that he wants a vote by the July 4 break, so the bill will likely come to the floor next week. McConnell led the writing of the bill and did so in a shroud of secrecy, not allowing any details of the bill to get out. Thursday marks the first time many senators, Republican and Democrat, are seeing the bill.

If the Republicans are able to pass a bill, it would be one step closer to a major overhaul of health care in America which represents one-sixth of the economy.

"I’m pleased that we were able to arrive at a draft that incorporates input from so many different Members, who represent so many different constituents, who are facing so many different challenges," said McConnell on the Senate floor Thursday. "Obamacare is a direct attack on the middle class, and American families deserve better than its failing status quo — they deserve better care. That’s just what we’re going to continue working to bring them."

READ: Secretive Group Backs GOP Health Care Bill, Corporate Tax Cuts

President Donald Trump praised the bill during brief remarks at a White House event.

"It’s going to be very good," Trump said. "A little negotiation, but it’s going to be very good."

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