Politics

Democrats make a counterproposal to end government shutdown, which Republicans call a ‘nonstarter’

Senate Minority Leader Chuck Schumer (D, NY) proposed extending expiring healthcare subsidies for one year as part of a measure to reopen the government, in a move aimed at breaking the monthlong logjam.

Schumer outlined the proposal during a floor speech Friday that was heavily attended by other Democratic senators in a show of caucus unity. “We would like to offer a simple proposal that would reopen the government and extend the ACA premium tax credits simultaneously,” Schumer said.

Schumer proposed a “clean” one-year extension to the tax credits that expire on Dec. 31 — meaning they would not include new restrictions on eligibility that many Republicans have sought. He also proposed creating a bipartisan committee to negotiate a longer-term solution for the subsidies and other health care reforms, to begin its work after the government reopens.

Senate Republicans have warned repeatedly that the government has to be reopened before Democrats get any vote on the ACA subsidies. But Democrats have balked so far at those terms as they pressure President Donald Trump and congressional Republicans to cut a deal now to address the expected spike in Obamacare premiums.

“This is a reasonable offer that reopens the government, deals with health care affordability and begins a process of negotiating reforms to the ACA tax credits for the future,” Schumer said. “Now the ball is in the Republicans’ court. We need Republicans to just say, ‘Yes.”

Key Senate Republicans immediately ruled it out, however, with Majority Leader John Thune calling it a “nonstarter.” “The Obamacare extension is the negotiation,” he said. Senator Lindsey Graham (R, SC) posted on X that it would unduly benefit health insurance companies to blindly extend the subsidies: “Another year of insane profits at the expense of consumers and American taxpayers,” he wrote.

It was very curious timing that this proposal from Democrats came a few days after elections in New York City, Virginia, and New Jersey. Many have speculated that Democrats shut down the government to motivate their high propensity base to vote.

Some predict that Democrats might decide to shutdown the government before election years from now on, to make sure that their voters are motivated to go to the polls.

Whether the government shutdown ends anytime soon though is still anybody’s guess.