Congress
GOP moves to let Obamacare subsidies expire as Trump promises ‘money to the people’
Republican leaders on Capitol Hill are moving decisively away from extending key Obamacare tax credits that help more than 20 million Americans pay for health insurance — following direct cues from President Donald Trump while also stoking ire among many in the GOP who fear severe political repercussions.
In a Monday interview with POLITICO, Trump refused to endorse a continuation of the expiring subsidies, even as his administration faces mounting pressure to address rising costs for Americans. He instead laid out his own vision for health care: “I want to give the money to the people, not to the insurance companies.”
Senate Republicans now plan to offer a proposal for a vote Thursday that would let the subsidies expire and instead encourage the use of health savings accounts. That abrupt shift in strategy is in turn putting new pressure on House GOP leaders to come up with their own health plan, according to four people who attended a closed-door meeting with Speaker Mike Johnson and senior Republicans Tuesday afternoon.
Yet after months of pressure from competing factions, lawmakers inside the meeting didn’t reach a conclusion and Johnson is still trying to figure out what that plan should be. House GOP staff Tuesday were prepping a health care framework to give Republicans something to vote on next week before they leave Washington for the holidays — one that, for now, does not include an extension of the enhanced Obamacare subsidies.
For many Republicans facing tough reelection races and even some in deep-red areas with a high reliance on the tax credits, following Trump’s one-sentence policy prescription would harm Americans and make for political disaster as the Dec. 31 expiration of the tax credits looms.
“We can agree that the current construct is flawed, but that letting them expire is not acceptable,” Rep. Brian Fitzpatrick (R-Pa.) said in an interview Tuesday. “That doesn’t work.”
Fitzpatrick is pushing a competing proposal that would extend the tax credits for two years while imposing an income cap and other eligibility restrictions. Fitzpatrick’s bill also includes new HSA provisions and a bipartisan package aimed at lowering drug costs, but he said it was unrealistic for GOP leaders to completely replace the subsidy framework in a matter of weeks.
“They can just dig themselves into an ideological corner all day long — it’s not fixing the problem,” Fitzpatrick added. “We can’t live in this fantasy land.”
But Johnson appears determined to cobble together a health care framework that will not include even a short-term extension of the subsidies, which can cut premiums for many families by $1,000 a year or more. He blindsided members of his own leadership circle and senior Republicans who have been involved in health care policy work when he announced last week his intentions to hold a vote this month.
“What health care plan?” said one of the senior Republicans who has been involved in the talks and was granted anonymity to share a candid reaction to Johnson’s pledge.
Turning Johnson’s promise into legislation has been difficult. As of Tuesday evening, the House GOP framework centered on an expansion of health savings accounts and funding for cost-sharing reductions — a type of Obamacare subsidy meant to reduce out-of-pocket health costs, according to three people granted anonymity to describe the deliberations.
While the plan does not currently include a temporary subsidy extension, some senior House Republicans say it might still be on the table — including Rep. Lisa McClain of Michigan, the No. 4 GOP leader, who said she believed it was still an option as she left the health care meeting Tuesday.
It’s also still to be determined whether the plan will be offered up as a suite of individual bills or packaged together. But the goal is for GOP lawmakers to have “something” to vote on before the end of next week, according to one of the senior House Republicans involved in the talks — even if there is no time left for the Senate to pass it before the subsidies lapse.
GOP members will be briefed on the talks during their closed-door conference meeting Wednesday morning, according to three people granted anonymity to discuss internal planning. They will not be presented with a formal plan, they said.
The health care sprint also comes as Johnson faces down growing displeasure inside the GOP over his leadership style, where he has repeatedly sought to bulldoze internal dissent and march in lockstep with Trump. In this case, Johnson has so far sided with the bulk of his conference who want to see the Obamacare subsidies expire — even though some Trump aides have counseled that an extension would be politically prudent.
The White House was on the cusp of endorsing a two-year continuation of the subsidies just before Thanksgiving, but top Republicans on Blue Light News were not fully consulted first and moved to quash the idea — to the horror of many in the rank-and-file who favor an extension.
“I don’t think leadership understands just how upset people are,” said one House Republican who among several granted anonymity to speak frankly about internal conversations. “People are getting desperate.”
In fact, according to six other House GOP lawmakers and senior aides with direct knowledge, enough Republicans could sign a discharge petition that would sidestep Johnson and force a vote on extending the expiring subsidies. One of those House Republicans said they would be willing to support a discharge of Fitzpatrick’s legislation, which largely mirrors the White House trial balloon, or another bill from Rep. Jen Kiggans (R-Va.) and is waiting to see details of what Johnson proposes as an alternative.
“We shall see,” the lawmaker said.
Some in the GOP who support an extension have floated a short-term patch until Jan. 30 in order to buy some more time to come up with a deal. Many Republicans in the White House and on Capitol Hill believe that once the tax credits expire, there could be a chance to work out a wider health care deal next month that could tackle issues such as HSAs and drug prices.
While that argument has its merits on paper, people involved in the talks say a short-term punt wouldn’t make much sense for people trying to buy health insurance for the entire year and could create major logistical hassles.
One of the many problems is the White House itself isn’t providing any clear guidance amid all the internal divisions. The Trump administration itself has been and still is deeply divided about allowing the Obamacare tax credits to lapse, according to two administration officials and three senior House Republicans involved in the conversations.
“It depends on who you ask,” said a senior House Republican about the White House’s views on health care.
One White House official said Tuesday that “policy teams are looking at a lot of different avenues” and that “three weeks is actually a lot of time for a lot of stuff to come together.” However, both the House and Senate are set to adjourn for the holidays at the end of next week.
The Senate plan now set for a vote Thursday, from Sens. Bill Cassidy of Louisiana and Mike Crapo of Idaho, quickly won support inside the GOP this week amid fears that the party would look hapless if they did not put up an alternative to Democrats’ plan to extend the subsidies for three years.
But there are still plenty of lawmakers who are anxious about voting to upend the health care system with the deadline looming and no signals from the White House on what Trump would accept.
“There’s just not enough time to do a comprehensive bill,” one House Republican said, adding that the expiring subsidies will be “a problem for everyone” in the GOP.
Jordain Carney, Cheyenne Haslett and Mia McCarthy contributed to this report.
Congress
Senate Republicans have 1 more chance to oppose the Iran war before the midterms
Republicans appear increasingly anxious that the economic fallout from the Iran war could cost them their House and Senate majorities. They have one more chance to stage a symbolic jailbreak — and it’s not clear enough of them are ready to take the leap.
The Senate will vote as soon as Thursday on another measure aimed at halting the war, giving Democrats likely their final opportunity to put their GOP colleagues on the record before leaving town until after the midterms.
At least four Republicans are expected to support the Democratic-led effort: Sens. Susan Collins of Maine, Lisa Murkowski of Alaska, Rand Paul of Kentucky and Thom Tillis of North Carolina. With Sen. John Fetterman (D-Pa.) expected to vote against reining in Trump’s military authority in the Middle East, Democrats need one more Republican to break ranks, presuming there is full attendance on both sides of the aisle.
That puts the Senate on the brink of a final pre-election rebuke of President Donald Trump’s approach to the overseas conflict that has contributed to the skyrocketing fuel prices plaguing GOP candidates on the campaign trail — and the first time since this summer that a Democrat-driven war powers resolution has been successful in the chamber.
Retiring Sen. Bill Cassidy (R-La.), a potential fifth GOP vote, said Wednesday he was undecided on whether or not to support the effort.
“I have spoken with people in the administration,” Cassidy said in an interview about outreach he’s gotten as he weighs his vote. “I think we all know that it’s a difficult situation — and so again, everybody wants ‘is it yes, or it is no’ and that’s not the case, so I’ll just leave it at that.”
GOP leaders have been closely watching members to see if Democrats will pick up additional votes.
“We’re constantly, of course, checking,” Senate Majority Leader John Thune said when asked about the possibility of more Republicans voting for the resolution. “But I would hope that the team could hang together on this.”
In a positive sign for Thune and the White House, not every Republican who is now actively distancing themselves from the war in Iran, or publicly kvetching about high energy prices, is expected to cross party lines on the war powers vote. But it’s exposing the complicated dynamics inherent in splitting from Trump, even for incumbents running in competitive races where the issue could cost them their seats.
The resolution, unlike many of the others the Senate has voted on since the conflict began nearly eight months ago, is non-binding, meaning it won’t go to Trump for his signature. Yet Republicans know that isn’t likely to stop it from sparking Trump’s wrath, after the president privately fumed about the intra-party defections on war powers resolutions during a closed-door lunch with Senate Republicans earlier this year.
Sen. Jon Husted (R-Ohio), who said in an interview Tuesday that “the war needs to come to an end as quickly as possible so that we can lower gas prices,” has said he won’t support the Democratic-led war powers resolution. He’s in a tight race against former Democratic Sen. Sherrod Brown.
Sen. Dan Sullivan (R-Alaska), who is also running in a tough reelection campaign, just this week proposed a temporary ban on diesel imports for the length of the Iran conflict — which some Republicans but not all argue would bring down costs. But a spokesperson didn’t respond to a request for comment Wednesday regarding how the senator planned to vote on the war powers resolution.
Sullivan also declined to comment as he was walking through the Capitol Wednesday evening, saying that he was “in a meeting.”
Sen. John Curtis (R-Utah), who named high gas prices as one of his lows last week in a social media video, is also expected to oppose the resolution believing an abrupt end to the war could spark national security concerns, according to an aide. He is not up for reelection for another four years.
Thune acknowledged the political crunch when asked Wednesday about some GOP candidates who are distancing themselves from Trump on both the war and rising energy costs.
“If I’m running in an environment like this, obviously you’re going to develop a campaign and a message that can win in your state,” Thune told reporters. “And so I encourage most candidates to run their own campaigns.
Asked if there was voter fatigue with the war, he added: “There’s voter fatigue with high gas prices. … It’s an economic frustration, and that’s why, again, I hope the administration is laser-focused on trying to get the strait open, get the shipping lanes opened up and help out with that global energy supply, because that ultimately will bring prices down.”
However, the Senate’s vote comes as Republicans are signaling alarm that the Iran war and the associated spike in energy and gas prices could hurt their candidates, even in typically red states that Trump carried in 2024.
Former Rep. Mike Rogers — who is trying to flip retiring Democratic Sen. Gary Peters’ seat in Michigan — and Rep. Ashley Hinson — who is trying to succeed departing GOP Sen. Joni Ernst in Iowa — have both called in recent days for the Iran war to end. Rep. John James, the Republican candidate for governor of Michigan, has also endorsed an end to the war.
Iowa Reps. Mariannette Miller-Meeks and Zach Nunn also voted last week for a resolution in the House to end the Iran conflict. Asked about the shift in stance among fellow Iowa Republicans, Ernst told reporters that they are in “tough elections.” “I would like the administration to come back with a very clear plan on how we bring this to an end,” Ernst added separately on Wednesday. “I do support the president, but this is really having an impact on everyday Americans.”
Ernst and other members of the Senate Armed Services Committee on Wednesday met with Adm. Brad Cooper, head of U.S. Central Command, for a classified briefing on the ongoing war against Iran. Lawmakers said the session included in-depth discussions about military readiness and munitions stockpiles, but not a concrete plan for when the conflict will be resolved.
“You all know about as much as I do on that,” Sen. Tommy Tuberville (R-Ala.) told reporters as he left the meeting. “They didn’t really offer anything on an ending.”
That has become a point of frustration even for GOP supporters of the war. Trump throughout the spring repeatedly predicted the fight would only last for a few more weeks, but he ditched those pledges as fighting continued through the summer.
Pressed if Republicans were ready to end the war in Iran, Thune said “everybody wants to see wars come to a conclusion” and that he believed the administration was working “aggressively to make that happen.”
Ernst said this week she wants “to have a clear understanding on how the administration is going to bring this to an end” — but also that she would “probably” keep voting against the war powers resolutions.
Leo Shane III contributed to this report.
Congress
Inside the fierce House GOP war over committee waivers
House Republicans for decades have prided themselves on their strict three-term limit for committee leaders, saying it promotes fresh blood in the party ranks.
But that limit has grown less strict in recent years, and a growing number of GOP lawmakers are aching for a crackdown.
Three of the 20 sitting House chairs have signaled interest in applying for a waiver to bypass the six-year term limit Republicans have had in place for more than 30 years. If each follows through, it would be the first time so many exceptions have been sought at once — and some Republicans are openly warning the practice is spinning out of control.
“We have term limits for a reason,” House Appropriations Chair Tom Cole (R-Okla.) said in an interview.
The question will be in the hands of the House Republican Steering Committee, a 35-member body representing a cross-section of the larger GOP conference. Depending on the outcome of the midterms — and the subsequent GOP leadership elections — the influential panel could also see an influx of younger members who might be even less inclined to give longtime committee leaders a two-year extension.
“They don’t owe the old guys anything,” Rep. Rich McCormick (R-Ga.) said in an interview. “They don’t see seniority as the main thing anymore, because even leadership is pretty young. So this is a whole new generation.”
The up-or-out dynamic has long been a point of distinction inside the House GOP, where generational resentments have been much more muted than among Democrats — who have no committee term limits and have seen younger members chafe as veterans spend a decade or more occupying top panel spots.
This year, however, both Agriculture Chair G.T. Thompson of Pennsylvania and Armed Services Chair Mike Rogers of Alabama have said they intend to seek waivers after leading their respective committees for six years already. So, too, has Rep. Ken Calvert of California, who chairs the powerful Appropriations subcommittee on Defense and is already serving a fourth term under a waiver. Natural Resources Chair Bruce Westerman of Arkansas has also signaled he might seek an exception.
As the chairs line up to make their case to the Steering Committee, many of its current members are publicly voicing their opposition to watering down the term limits rule, which dates to 1992 under the leadership of then-future Speaker Newt Gingrich.
“I would say waivers are rare and will remain so,” said Rep. Ryan Zinke (R-Mont.), a Steering member. “There’s also a lot of talent that has been waiting.”
“There’s a reason we have term limits — they work,” said Rep. Austin Scott (R-Ga.), another Steering member who is challenging Thompson for the Agriculture spot.
At least one top GOP leader is sending similar signals: Majority Whip Tom Emmer said in a recent interview he’s “not a fan” of the waiver practice, while Speaker Mike Johnson, who gets an outsize four votes in Steering matters, said he would leave the waiver debate to the panel.
“We haven’t gotten to that yet,” Johnson told Blue Light News. “We’ll figure it out.”
There is some precedent for granting waivers.
In 2022, North Carolina Rep. Virginia Foxx, then the chair of the Education and Workforce Committee, successfully applied for a waiver after Republicans retook the majority after four years of Democratic control. She argued she’d had only two years as chair and had more work to get done.
Two years later, Transportation and Infrastructure Chair Sam Graves of Missouri made his pitch to stay for a fourth term, and was granted a waiver to the surprise of several Republicans.
One key factor: Both Foxx and Graves had backing from members of their committees, including those next in line for the position. That doesn’t appear to be the case this time around.
Now, not only is Scott looking to immediately succeed Thompson, but Rogers is facing challenges from Reps. Ronny Jackson of Texas, Rob Wittman of Virginia and Trent Kelly of Mississippi. Westerman hasn’t officially thrown his hat into the ring, but Rep. Pete Stauber of Minnesota is already in the Natural Resources race, and Rep. Paul Gosar of Arizona has floated interest.
“I support term limits. I always have. It wouldn’t matter if I was in this race or not,” Scott said. “There are some other people that are very good friends of mine that are termed out, and I would not support a term limit for them.”
Rogers hasn’t disclosed his specific pitch for a waiver, saying in an interview at the Capitol earlier this month that he’s “not going to talk about that before the election.”
Thompson, meanwhile, has already circulated a letter to Steering Committee members asking for their support, citing his “temperament and willingness to roll up my sleeves to get the job done.” Notably, it remains uncertain whether Congress will be able to pass a farm bill this year — typically a crowning achievement for any Agriculture chair.
Matt Brennan, Thompson’s chief of staff, said in a statement that the chair is focused on the November election but “will continue to make his intentions known to members of the Steering Committee and the conference at large in the coming weeks.”
Some Republicans believe the issue could solve itself, especially if the GOP loses its majority in November and the chairs would instead be looking at two years as ranking members. And others simply believe the number of lawmakers seeking exceptions will work against all of them. The last time multiple chairs sought waivers, in 2010, both were denied.
“The more people that apply for waivers, the less likely any of them are to happen because then you’re in a position of having to make choices,” Cole said. “Either they all get it or they all don’t get it.”
Connor O’Brien and Grace Yarrow contributed to this report.
Congress
Senators weigh staying in town to vote on data center bill
Senate Republicans are discussing whether to stay in town next week to vote on a data center bill being championed by one of their most vulnerable incumbents, according to two GOP senators granted anonymity to disclose private talks.
Republicans haven’t made a decision — and lawmakers said they were given no concrete guidance on their schedule during a closed-door lunch with party leaders Wednesday. But the fact that some are weighing whether to remain in session so close to the midterms against sending members home early to campaign signals a growing anxiety over affordability-related issues ahead of Election Day.
Sen. Jon Husted (R-Ohio), who is fending off a competitive challenge from former Democratic Sen. Sherrod Brown, tried last week to clear a House-passed bill aimed at getting tech companies to cover the energy costs associated with data centers — an issue that has overtaken his Senate race.
But Sen. Martin Heinrich of New Mexico, the top Democrat on the Energy and Natural Resources Committee, blocked Husted’s effort to pass the bill quickly via a unanimous consent agreement, arguing the measure doesn’t go far enough to protect consumers.
That means GOP leaders would need to jump through days of procedural hoops in order to get even an initial vote on the bill.
Senate Minority Leader Chuck Schumer (D-N.Y.) also indicated Wednesday that he would urge his colleagues not to support the legislation at this time, instead touting another Democratic bill that would put more enforcement mechanisms in place.
“Senator Husted’s bill is a fraud. It’s voluntary, no company has to do it,” he told reporters during his weekly news conference. “The bill we have is mandatory. It is much stronger and it is what is needed.”
The House version of Husted’s bill passed in the House with overwhelming bipartisan support earlier this month.
Senate Republicans are also still waiting to see if a long-sought deal to overhaul the energy permitting process comes together. If an agreement can be reached soon, Senate Majority Leader John Thune (R-S.D.) has indicated that the chamber would stay in town next week to process that bill, giving lawmakers more time to take up the Ratepayer Protection Act as well.
Calen Razor contributed to this report.
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