Senate ACA subsidy bill pushed to late January 

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A bipartisan group of senators working to revive the ACA enhanced tax credits that expired at the end of 2025 said they won’t have their proposal ready until the end of January, Politico reported Jan. 13. 

Sen. Bernie Moreno, R-Ohio, a lead negotiator, previously said the legislative text could be ready as early as Jan. 12, but told Politico, “[W]e have to make sure we get this right.”

Mr. Moreno said Republicans and Democrats involved in the discussions have not yet resolved how to address the Hyde Amendment, which bars federal funding from covering abortions, according to the report. Under the law, ACA marketplace insurers must segregate funds that go toward abortion services from funds that go to all other health services. Republicans and Democrats disagree on whether that segregation complies with the Hyde Amendment. 

The senators’ plan would reestablish ACA subsidies for two years and would add new restrictions. Restrictions would include an income limit that would exclude those earning more than about 700% of the federal poverty level. There would also be a $5 monthly minimum premium. Insurers could face new fines if people are signed up for subsidized coverage without realizing it.

The House of Representatives voted Jan. 8 to extend the ACA enhanced tax credits that expired at the end of 2025 for three years. That measure has moved to the Senate, but it is not expected to pass. 

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