Democrats Unveil Doomed Healthcare Proposal as Republicans Scramble for Their Own Plan

The federal government forms for applying for health coverage are seen at a rally held by supporters of the Affordable Care Act, widely referred to as "Obamacare", outside the Jackson-Hinds Comprehensive Health Center in Jackson, Mississippi, U.S. on Octo

Senate Democrats are looking to extend enhanced Affordable Care Act subsidies for three years in a vote next week, Minority Leader Chuck Schumer announced Thursday.

Majority Leader John Thune last month promised Democrats a vote on their healthcare proposal in exchange for ending the government shutdown, and that vote is expected to take place next Thursday, just weeks before the subsidies are set to expire.

“Republicans have one week to decide where they stand: Vote for this bill and bring health care costs down, or block this bill and send premiums skyrocketing,” Schumer said.

The proposal would prevent premiums for ACA healthcare plans from rising sharply for millions of Americans on January 1. Although the “clean” bill arrives with the full support of Senate Democrats, it is expected to fail due to Republican opposition.

Senate Republicans are reportedly considering a counterproposal, but it’s not clear that they will be able to develop a plan to offer in the few legislative days left on the calendar.

House Republicans scramble for a plan: With some GOP lawmakers worried that Republicans will take the lion’s share of the blame if Congress fails to find a solution for the problem of rising ACA premiums, House Speaker Mike Johnson is reportedly rushing to develop his own healthcare proposal, but its form and substance are up in the air. 

Any House plan that emerges is expected to include various proposals that Republicans have been discussing in recent weeks. One proposal would allow a wider range of insurance plans, including “association health plans” offered by groups of small businesses. Another likely proposal would expand the use of health savings accounts.

Republicans may also include proposals intended to reduce drug costs, a favorite theme of President Trump’s. Pollster Tony Fabrizio advised House Republicans this week to focus on drug prices to redirect voter attention away from the problem of the ACA subsidies.

A bipartisan long shot: Bipartisan efforts to reach a compromise deal have foundered so far. A group of centrist lawmakers led by Democratic Rep. Josh Gottheimer and Republican Rep. Jen Kiggans released a proposal Thursday that would extend the enhanced ACA subsidies for two years. Backed by 35 House Republicans and Democrats, the plan includes more restrictive income caps for subsidies and the elimination of no-cost premiums, with some exceptions.

“We’re calling for a vote by December 18 in both chambers of Congress to get something done before premiums rise in January,” Gottheimer told reporters Thursday. 

Kiggans noted that 40,000 people rely on ACA plans in her Virginia district. “Doing nothing to prevent a spike in their premiums is wrong,” she said.

There’s no indication, though, that House leaders have much interest in the centrist, bipartisan effort. Hostility toward the Affordable Care Act remains high among Republicans, and it’s not clear that Johnson and his leadership team are willing to risk a backlash from more conservative members if they were to step in and provide a lifeline for the program.

Still, there is pressure to act before the subsidies expire. “Doing nothing is not an option,” said Republican Rep. Kevin Kiley, who backed the proposal. “Let's be honest, this has not exactly been the finest hour for the U.S. House of Representatives. Over the last several months, the House has been missing in action in a lot of ways.”