WASHINGTON — House Republicans unveiled a health care package late Friday as Congress faces a year-end deadline with no agreement on extending enhanced Affordable Care Act subsidies that lower insurance costs for millions of Americans.
Speaker Mike Johnson announced the proposal as Republicans declined to extend the enhanced tax credits for people who buy insurance through the Affordable Care Act, also known as Obamacare. Those subsidies are set to expire at the end of the year.
“House Republicans are tackling the real drivers of health care costs to provide affordable care,” Johnson said in a statement, adding that the package would be brought to a vote next week.
Johnson has been meeting privately with GOP lawmakers in recent days as the House turns to health care in the final stretch of its 2025 session.
House Democratic Leader Hakeem Jeffries sharply criticized the plan, calling it “toxic legislation” that would hurt taxpayers and fail to attract bipartisan support. He said Democrats would oppose it if it reaches the House floor.
Time is running short for Congress to act. After the Senate failed this week to advance either a Republican health care plan or a Democratic proposal to extend the ACA subsidies, lawmakers are heading toward adjournment without a consensus solution.
The House Republican package, more than 100 pages long, focuses on expanding access to employer-sponsored insurance and increasing oversight of pharmacy benefit managers.
The proposal would broaden access to association health plans, allowing small businesses and self-employed workers to band together to buy coverage. Supporters say the plans could reduce costs, while critics argue they provide weaker coverage than required under the ACA.
The plan would also require additional data reporting from pharmacy benefit managers, a move Republicans say would help rein in prescription drug costs.
The proposal references cost-sharing reductions for some lower-income ACA enrollees, but those would not take effect until January 2027.
Notably, the package does not extend the enhanced ACA tax credits created during the COVID-19 pandemic. Those subsidies expire Dec. 31, and without action, many families could see their premiums more than double.
President Donald Trump has said Republicans will develop a better alternative to Obamacare, reiterating his preference for directing money to individuals rather than insurers.
He has proposed providing stipends to help Americans buy coverage but has offered few details. Trump did not comment directly on the House plan.
Political pressure is mounting on Republicans from competitive districts, some of whom are working with Democrats to pursue temporary extensions of the ACA subsidies. Lawmakers have introduced bills and filed discharge petitions that could force a House vote if enough members sign on.
One bipartisan discharge petition filed by Rep. Brian Fitzpatrick of Pennsylvania would force a vote on a two-year subsidy extension with added anti-fraud provisions. Another, led by Rep. Josh Gottheimer of New Jersey, seeks a one-year extension with new income caps. Both efforts have attracted bipartisan support, though Democratic leaders have not yet endorsed either approach.
Jeffries said Democrats are reviewing the petitions and will comment further next week. Democrats are also backing their own petition for a clean three-year subsidy extension, which Republicans have said would not pass the Senate. — Agencies
