Government Shutdown Looms After Senate Deal Failure
- Midnight Deadline Missed: Millions face Higher Healthcare Costs as Government Shuts Down
- WASHINGTON - As the clock ticks past midnight, the federal government is officially headed for a shutdown, but for millions of Americans, the more immediate and personal crisis...
- The Senate, once again, failed to pass a stopgap government funding bill on Tuesday, leaving the nation in limbo and its citizens bracing for financial impact.
Midnight Deadline Missed: Millions face Higher Healthcare Costs as Government Shuts Down
WASHINGTON – As the clock ticks past midnight, the federal government is officially headed for a shutdown, but for millions of Americans, the more immediate and personal crisis is the looming expiration of Affordable Care Act (ACA) subsidies, threatening to double healthcare premiums starting tomorrow.
The Senate, once again, failed to pass a stopgap government funding bill on Tuesday, leaving the nation in limbo and its citizens bracing for financial impact. At the heart of this gridlock are the enhanced tax credits for ACA marketplace insurance, a lifeline for many families. If thes credits expire, the non-profit KFF predicts average premiums will more than double. The stark reality of this will hit home for many tomorrow, as premium notices begin to arrive.
“They’re going to say, ‘What’s happening?'” Senate Minority Leader Chuck Schumer (D-N.Y.) stated, anticipating public outcry. “And we’re going to be right there explaining to them, ‘It’s because the Republicans wouldn’t negotiate with us.'”
On Tuesday, two competing measures failed to gain the necessary support. Democrats proposed a bill that would have funded the government until Oct. 31. Crucially, it would have also permanently extended the extra ACA subsidies, undone Medicaid cuts from President Trump’s tax bill, and made it more arduous for the White House to withhold funding appropriated by Congress. Not a single Republican supported this measure in the floor vote.
Republicans, in turn, pushed for a ”clean” continuing resolution (CR) to extend government funding until Nov. 21. While this measure did not receive the 60-vote threshold required for cloture, it did pick up two more votes compared to the last stopgap funding bill vote on Sept. 19. Notably, Sen. John Fetterman (D-Penn.),who was the sole Democrat to back the Republican bill last time,was joined by Sen. Catherine Cortez Masto (D-Nev.) and Maine Independent Sen. angus King, who caucuses with Democrats, in supporting the Republican proposal this time. Republican Sen. Rand Paul (Ky.) was the lone dissenter from his own party.
Senate Majority Leader John Thune (R-S.D.) indicated Republicans might consider extending the ACA credits, but only after the government reopens. Even then, he suggested, any extension would likely be temporary, include income caps on the subsidies, and address concerns about government-subsidized plans covering abortion. Historically, Republicans have not supported enhanced subsidies.
Democrats are betting that the public will pressure Republicans to extend the ACA credits once they see the important premium increases. Beyond healthcare, the Congressional Budget Office estimates approximately 750,000 federal employees could be impacted by the shutdown. lobbyists, however, admit it’s difficult to predict how the public will react to the shutdown itself, or who voters will ultimately hold responsible.
As the nation wakes to a shuttered government, the most immediate and tangible consequence for many will be the stark choice between soaring healthcare costs and going without coverage, a direct result of Washington’s inability to find common ground.
