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yesterday

Cassidy Urges Talks, Signals Openness to Short ACA Subsidy Extension

The enhanced tax credits are set to lapse at month’s end with no bipartisan deal in place.

Speaker of the House Mike Johnson at the US Capitol, in Washington, DC, on Friday, December 12, 2025.
Speaker of the House Mike Johnson discusses affordability at a press conference on December 10, 2025 at the U.S. Capitol in Washington, DC. The Republican leaders discussed healthcare plans with a vote regarding an extension of the ACA subsidies looming.
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Speaker of the House Mike Johnson, R-La., meets with reporters at the Capitol following a strategy session with House Republicans.

Overview

  • Following failed Senate votes last week, Sen. Bill Cassidy said "there's a deal to be had" and pressed for bipartisan negotiations.
  • Cassidy's Republican plan would redirect funds into health savings accounts for people on bronze marketplace plans to offset deductibles.
  • He said he could support a temporary extension of the premium tax credits if Democrats agree to steps that address high out-of-pocket costs.
  • Democrats have not backed the HSA model, and Sen. Mark Warner urged Congress to extend the subsidies now rather than rely on retroactive fixes.
  • The GOP measure drew no Democratic votes, an estimated 22 million people face a year-end cliff, and Cassidy argued his approach could be implemented through March.