The House of Representatives voted to extend the ACA enhanced tax credits that expired at the end of 2025 for three years. The measure now heads to the Senate.
The 230-196 vote followed a Democrat-led discharge petition that reached the required 218 representative signatures in December, forcing consideration of a subsidy extension. The signatures were secured shortly before the House passed the Lower Health Care Premiums for All Americans Act, which did not include an extension.
Though the extension is not expected to pass in the Senate, a bipartisan group of senators are working on their own draft legislation that would extend the subsidies for two years.
The Senate proposal would add new restrictions, including an income limit that would exclude those earning more than about 700% of the federal poverty level. There would also be a $5 per month minimum premium. Insurers could face new fines if people are signed up for subsidized coverage without realizing it. The senators are also discussing an option that would allow those receiving subsidies to opt for the money to go into a pre-funded health savings account during the second year of the extension.
Sen. Bernie Moreno, R-Ohio, one of the key negotiators, told Politico that the legislative text could be finalized Jan. 12.
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