WASHINGTON –The U.S. Senate is expected to vote Thursday on competing proposals to extend Affordable Care Act tax credits, but neither measure is expected to pass, setting the stage for higher health insurance premiums and renewed political debate ahead of the midterm elections, according to a discussion on this week’s DC Debrief.
The tax credits help lower monthly insurance costs for millions of Americans who buy coverage through the ACA marketplace. Democrats made extending the credits a central issue during a six-week government shutdown, but while Republicans agreed to reopen the government and allow votes on the issue, congressional leaders have not reached a compromise.
What the Senate is voting on
Senators are expected to first vote on a Democratic proposal that would extend the tax credits for three years. A second vote will follow on a Republican alternative that would shift assistance directly to taxpayers rather than providing subsidies through the ACA.
Both proposals are expected to fall short of the votes needed for passage, which would allow the credits to expire.
Why it matters now
Open enrollment is already underway, and many Americans are beginning to see premium increases for next year. In some cases, rates are rising by more than 30 percent.
The issue is expected to become a central campaign topic, with Democrats arguing Republicans allowed the credits to expire, contributing to higher costs. Republicans counter that Congress should focus on lowering overall health care costs rather than continuing subsidies for a limited group of policyholders.
Members of Oklahoma’s congressional delegation have said that even with the tax credits in place, premiums would still rise, though at a slower pace. They argue Congress should focus on addressing the broader cost of health care instead of spending an estimated $40 billion annually on subsidies.
Other federal action affecting Oklahoma
The DC Debrief discussion also highlighted passage of the National Defense Authorization Act in the U.S. House. The bill includes pay raises for service members and funding for major defense programs, including the transition from the E-3 AWACS aircraft to the newer E-7 Wedgetail.
Oklahoma lawmakers pushed back against proposals to phase out the AWACS mission before a replacement system is fully operational, citing the importance of jobs and operations at Tinker Air Force Base. The legislation maintains funding for the E-7 transition while continuing the gradual retirement of the older aircraft.
Bipartisan moment in Washington
The segment also noted a rare bipartisan moment with the unveiling of a portrait honoring longtime Oklahoma Congressman Frank Lucas for his service as chairman of the House Science, Space and Technology Committee. Leaders from both parties, including Speaker Mike Johnson, attended the ceremony and praised Lucas for his behind-the-scenes leadership and willingness to work across party lines.
