The White House has reportedly delayed plans to roll out a proposal addressing the looming expiration of enhanced Obamacare subsidies after facing a backlash from congressional Republicans.
President Trump was expected to unveil a framework that called for a two-year extension of the enhanced Affordable Care Act subsidies that are set to expire at the end of the year and were at the heart of the 43-day government shutdown fight. The White House proposal, reportedly titled the “Healthcare Price Cuts Act,” also called for additional limits on eligibility for the subsidies, including an income cap set at 700% of the poverty level, and required a minimum monthly premium payment. The plan also included deposits into tax-advantaged savings accounts meant to encourage people to downgrade their coverage and pick lower-premium options on the ACA exchanges.
The White House outline, reported Sunday by MS NOW and Politico, was subject to change, but it signaled Trump’s first substantive engagement on the healthcare issue that led to the shutdown — and a notable, albeit temporary, acceptance of the subsidies that have divided Republicans. The Trump plan essentially would have acknowledged the practical and political need to prevent millions of Americans from being hit with massive spikes in premium payments.
But unofficial White House plans to unveil the proposal as early as Monday were reportedly derailed by congressional pushback that forced a delay and a reworking of the Trump framework. “I don’t see how a proposal like this has any chance of getting majority Republican support,” one unnamed House conservative told MS NOW. “We need to be focused on health care, but extending Obamacare isn’t even serious.”
Hardline conservatives adamantly oppose any move to prop up an Obamacare program they have long derided and sought to repeal — and, in particular, any extension of the ACA subsidies, which they argue just increase costs and pad the profits of insurance companies. But some GOP moderates have been pushing to extend the subsidies, perhaps with modifications, to avoid near-term pain for their constituents.
Democratic Sen. Maggie Hassan of New Hampshire, one of the moderates who voted to reopen the government, on Sunday welcomed the news that Trump was preparing a plan. “We need to learn more about what exactly the President is putting forward, and we must ensure that any proposal rejects the idea of repealing the Affordable Care Act and its protections, such as coverage for pre-existing conditions,” she said in a statement. “While I have significant concerns about some of the ideas reportedly in the President’s proposal, it nonetheless represents a starting point for serious negotiations.”
The bottom line: That starting point has been delayed, but the White House reportedly still expects to make an announcement soon.