Plan to extend ACA tax credits finds bipartisan support in the House

A bipartisan group in Congress is working behind the scenes to extend expanded subsidies for health coverage offered through the Affordable Care Act. The provision for extra funding has been in place since the COVID-19 pandemic but is set to expire heading into 2026. 

According to a report from the New York Times, a group of 35 Republicans and Democrats in the U.S. House of Representatives has a plan to extend the subsidies for two years, albeit with some additional income caps to make the proposal more enticing to GOP legislators. 

As of now, the idea has the support of only 15 Republicans in the House, meaning it’s a long way from reaching the floor for a formal vote. As the New York Times points out, a simple majority may be all that’s needed for a bill to pass. However, Congress tends to only advance bills that have significant support from the majority party. 

The outlet went on to add that the Republican representatives who support the measure all have one thing in common: They represent divided districts where they face a tough reelection next year, signaling that the party is aware that the rising cost of healthcare is going to be a sore spot with voters. 

As for how this new vision of the subsidies would work, it comes down to a two-step process that would require both the House and the Senate to act twice. In phase one, tax credits that make medical coverage more affordable would be extended for a year, with new income limits on eligibility. Phase two would allow for a further extension if and only if other reforms are made, which the New York Times said could mean the elimination of $0 premiums. 

The proposed law is being spearheaded by Reps. Josh Gottheimer (D-NJ) and Jen Kiggans (R-VA). 

For more, read the New York Times’s full coverage at the link below.