The bill would have blocked refugees from nations with "terrorist-controlled territory."
"I've been disappointed by Republican fear mongering and bigotry," he said.
The White House has threatened to veto the House's bill on refugees.
But the Iowa Republican added a hold on a top State Department nominee.
He wants to block new refugees from getting access to public benefits.
Jordain Carney 11/18/15 07:25 PM EST
Davis County Attorney Troy Rawlings, a Republican, is investigating the Senate minority leader...
A former staffer agreed to drop the allegations.
Critics argue the bill would undo rules meant to prevent bad lending practices.
Sen. Sherrod Brown (D-Ohio) said Republicans are holding national security nominations "hostage."
But the bill faces an uphill battle in a divided Senate.