The US Senate is set to vote on two healthcare-related bills on Thursday, but both are expected to fail. The subsidies for the Affordable Care Act (ACA) are set to expire at the end of the month, affecting millions of Americans. Democrats are seeking a three-year extension of the subsidies, warning that without it, healthcare premiums will skyrocket in 2026. However, the Democratic proposal lacks enough Republican support to pass.
Republicans argue that extending the subsidies would allow “waste, fraud, and abuse” in the ACA to continue, benefiting insurance companies. Instead, they have proposed a plan by Senators Bill Cassidy and Mike Crapo, which would provide up to $1,500 a year in payments for health savings accounts for Americans earning less than 700% of the federal poverty level. However, this plan does not extend the ACA tax credits and the money cannot be used to pay for healthcare premiums.
Democrats have rejected the GOP proposal, criticizing it for limiting coverage to plans on the ACA marketplace that provide less coverage and excluding abortion services and gender reassignment. Senate Minority Leader Chuck Schumer said the plan “would not extend the ACA tax credits for a single day” and does nothing to address the impending price increase.
The timeline of the GOP proposal has also been criticized, with Democrats arguing that Republicans have waited too long to unveil their plan. Senator Jack Reed pointed out that 24 million Americans face losing their subsidies at the end of the year and that the Republican plan cannot be implemented in time. He urged the GOP to approve an extension of the ACA subsidies now and deal with changes later.
The outcome of the votes is uncertain, with Senate Majority Leader John Thune unsure if all Republicans will back the Cassidy-Crapo plan. Meanwhile, Schumer has confirmed that all Senate Democrats are unified behind their vote to prolong the ACA subsidies. The failure of both bills to pass would leave millions of Americans facing uncertainty about their healthcare coverage in the new year.