The U.S. government has been shut down since October 1st, lasting nearly half a month. Republicans controlling both houses of Congress had proposed a short-term funding plan to keep the government running until November, while Democrats have put forth demands to extend the subsidies under the Affordable Care Act (ACA), commonly known as Obamacare, which are set to expire in November. The ACA has become the core issue causing a deadlock between the two parties.
With the government subsidies provided by ACA set to expire, millions of Americans who rely on government assistance to purchase insurance through the ACA marketplace will be affected. Most Democrats in the Senate are insisting on extending the ACA tax credits due to expire at the end of the year as a condition to end the government shutdown, while Republicans believe this issue can be dealt with later.
On Sunday, October 12th, Vice President Pence criticized the ACA tax credits, calling them fraudulent tools, and called for regulatory reform. Pence, in an interview with CBS News’ “Face the Nation”, stated, “The tax credits of the ACA do benefit some people, but we believe that these tax credits actually flow into a lot of waste and fraudulent activities in the insurance industry. Therefore, we want to ensure that these tax credits benefit those who truly need them.”
President Trump stated last week that he is willing to negotiate on healthcare policies, but only after the government shutdown ends. He pointed out, “ObamaCare imposed many absurd regulatory requirements on the health insurance industry. By cutting these regulations, we can enable people to access better healthcare services at lower costs. That is the direction we are working towards.”
Republican Speaker Johnson pointed out on Monday, October 13th, that a record 24 million people have signed up for the ACA marketplace, and it is unlikely that the Republicans will go down the path of repealing it again. However, he emphasized that Democrats must agree to reopen government operations first.
House Minority Leader Jeffries stated in an interview with “Fox News Sunday”, “Due to some of my Republican colleagues refusing to engage in discussions on extending the tax credits of the Affordable Care Act, some people are facing significant increases in medical expenses.” He said, “Under the current circumstances, this situation is unacceptable.”
(Reference to relevant reports from Reuters)