House Advances Obamacare Subsidy Extension with GOP Help, Senate Hurdles Remain
A Democratic-led effort to extend enhanced Affordable Care Act subsidies cleared a key procedural vote in the House on Wednesday, setting up a final vote as soon as Thursday. The motion passed 221-205, with support from nine Republicans, defying House Speaker Mike Johnson and signaling continued GOP division on health care policy ahead of the 2026 midterms.
The underlying bill would extend for three years the expanded tax credits first implemented under President Joe Biden in 2021, which expired at the end of 2025, leading to premium increases for millions. Democrats have made affordability a central campaign issue, contrasting it with President Donald Trump's focus on foreign interventions. "What is Donald Trump focused on? In his words 'running Venezuela,'" said Rep. Ted Lieu (D-CA).
The push reached the floor via a discharge petition—a maneuver to bypass leadership—that garnered signatures from four moderate Republicans in December, a setback for Speaker Johnson. However, the bill's prospects in the Senate are uncertain. A similar three-year extension was rejected in December, and a bipartisan working group is now scrambling to craft a compromise before the January 15 ACA open enrollment deadline in most states.
Sen. Bernie Moreno (R-OH), part of the negotiations, stated the House bill would fail but could serve as a vehicle for amendments. Key sticking points include addressing "$0 premiums" made possible by the enhanced credits, expanding Health Savings Accounts (a Trump priority), and the application of the Hyde Amendment, which restricts federal funding for abortions. Trump recently urged Republicans to be "flexible" on Hyde, drawing criticism from pro-life groups.
Senate Majority Leader John Thune (R-SD) emphasized any deal must create a "bridge" to greater HSA access. The outcome remains fluid, with House and Senate moderates scheduled to meet Thursday in a last-ditch effort to broker a deal that can pass both chambers before time runs out.
