Fetterman a yes, McCormick a no as Senate rejects extending ACA subsidies
Starting January 1, millions of Americans will see a steep rise in the cost of healthcare as the United States Senate rejected legislation to extend Affordable Care Act tax credits.
The subsidies, used by more than 20 million Americans, was likely Congress’ best shot at preventing the subsidies from lapsing and raising premiums for many Americans who buy their insurance directly through Affordable Care Act exchanges. While the lapse will not completely eliminate the tax credits, they will revert back to pre-pandemic levels and many families could still see their premiums rise by $1,000 a year or more.
Senators voted 51-48 on advancing a GOP health care plan that would have expanded health savings accounts as an alternative to the expiring tax credits. Democrats’ plan to extend the Covid-era enhanced subsidies for three years also received a 51-48 vote. Both proposals fell well short of the 60 votes needed to vault a key procedural hurdle.
Pennsylvania senators split their votes. Sen. John Fetterman was a yes on S. 3385 which was the Democratic proposal, and a no on S. 3386 which was the Republican proposal. Sen. Dave McCormick voted opposite of his Keystone State partner, voting no on 3385 and yes on 3386.
It was an unceremonious end to a months-long effort by Democrats to prevent the COVID-19-era subsidies from expiring on Jan. 1, including a 43-day government shutdown that they forced over the issue.
After Thursday’s failed votes, senators were already floating trying to merge the health savings account flexibility in the GOP bill with an extension of the subsidies with an income cap and other eligibility restrictions. But multiple sticky political fights, including a clash over abortion restrictions, would need to be resolved in a passable deal.
In the House, two bipartisan groups of lawmakers have filed discharge petitions seeking to force a vote on compromise subsidy extensions, over the objections of GOP leaders.
It remains unclear whether enough Democrats will sign onto the plans to get to a majority in the House amid questions about whether the plans have any chance of becoming law.
Even if a subsidy plan passed the House, Senate GOP leaders could block it.
Steve Ulrich is managing editor of Politics PA.
