By Richard Cowan
WASHINGTON, Jan 8 (Reuters) – The Republican-controlled U.S. House of Representatives on Thursday was poised to pass Democratic-backed legislation that would restore expired healthcare subsidies, as millions of Americans face significant price hikes for coverage.
The Republican-controlled Senate has already rejected a similar bill, but passage in the House could spur a compromise. Senate negotiators are weighing proposals that would extend the subsidies for less than three years, limit coverage to people below a certain income level, and soften abortion limits sought by conservatives.
Opinion polls show “affordability” is a top voter concern, and lawmakers are looking to take action to limit price increases ahead of November elections that will determine control of Congress.
“Democrats are going to make healthcare and the high cost of living the number one issue for all of 2026,” Senate Democratic Leader Chuck Schumer said at a press conference.
Congress allowed tax breaks that benefit 24 million Americans who get their coverage through the Affordable Care Act to expire at the end of 2025. Restoring those subsidies would lead to 6.2 million more people enrolled in the program and cost the government $80.6 billion over 10 years, according to the nonpartisan Congressional Budget Office. The Affordable Care Act, nicknamed “Obamacare,” became law in 2010 over Republican opposition and the subsidies were passed in 2021 in response to the COVID pandemic without any Republican votes.
The House vote amounts to a striking victory for Democrats, who triggereda record 43-day government shutdown last fall in an unsuccessful effort to extend the subsidies.
Americans have until January 15 to enroll in ACA coverage for this year, although the Trump administration could extend that deadline.
Democratic Representative Jim McGovern of Massachusetts said some of his constituents were facing thousands of dollars in higher monthly costs due to Washington’s failure to enact a fix.
Republicans acknowledge the need to keep costs down, but say the program is riddled with fraud and waste.
“We should start by stop throwing good money after bad” on the program, Republican Representative Jodey Arrington of Texas said on CNBC.
(Reporting by Richard Cowan; additional reporting by Amina Niasse in New York; editing by Andy Sullivan and Chizu Nomiyama )
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