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Shutdown Enters Week Two as ACA Subsidy Standoff Exposes GOP Splits

With open enrollment set for Nov. 1, regulators and analysts warn consumers could face sharply higher premiums if enhanced marketplace credits are not extended.

Overview

  • Senate Democrats have repeatedly blocked Republican stopgap funding bills that omit an extension of enhanced Affordable Care Act tax credits, leaving the shutdown in its 13th day.
  • Vice President JD Vance said on CBS that the credits involve "a lot of waste and fraud" and pressed for regulatory changes, a stance at odds with Democrats pushing for a swift extension.
  • House Speaker Mike Johnson said he invited Rep. Marjorie Taylor Greene into health care discussions after she backed extending the credits, reflecting wider Republican divisions that include senators such as Josh Hawley, Lisa Murkowski and Susan Collins.
  • KFF estimates average enrollee payments could rise about 114% in 2026 if the enhanced credits lapse, and state regulators say carriers filed two sets of rates as open enrollment approaches on Nov. 1.
  • Roughly 24 million people use ACA marketplaces and about 22 million receive the enhanced credits, while a permanent extension is estimated to cost roughly $350 billion over 10 years.