Thune says 'path forward' on healthcare; Schumer says no alternative to Dems' plan

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(The Center Square) – With health care premiums for millions of Americans set to spike in 2026, congressional leaders say they have exhausted all options to cushion the blow.

Republicans tanked Democrat’s bill that would have prevented the pandemic-era enhancements to the Obamacare Premium Tax Credit from expiring. Senate Democrats have voted down any health care plan that does not include an extension of the enhanced subsidies, and are set to do so again if House Republicans’ health bill reaches the upper chamber.

As Congress prepares to leave for Christmas, Senate Majority Leader John Thune, R-S.D., expressed some optimism that the parties could reach a compromise when they return in January.

“Our views on healthcare and the Democrat views on healthcare are very different. And I think that’s a difficult challenge that we have to figure out how to overcome,” Thune told reporters Tuesday. “But if they’re willing to accept changes that actually would put more power and control and resources in the hands of the American people and less of that in the pockets of insurance companies, I think there’s a path forward.”

Senate Minority Leader Chuck Schumer, D-N.Y., however, said “the damage has been done,” indicating opposition to any bill other than Democrats’ $83 billion three-year extension of the subsidies that doesn't include changes to reduce fraud.

“We always want to work with people who will lower health care costs, but if the Republicans want to do something, they have until January 1st to pass the one bill that can get it done: our bill,” Schumer said Tuesday.

A recent Government Accountability Office report uncovered systemic fraud risk and confirmed fraud in the enhanced subsidies. More than 90% of office's fake applicants received coverage, with GAO noting that “agents and brokers have a financial incentive to maximize enrollments” under the existing tax credit system.

Many rank-and-file lawmakers in both chambers have put forward compromise legislation as negotiations among leadership have failed. A bipartisan group of 35 lawmakers in the House are pushing for a vote this week on legislation that would extend the subsidies but include targeted reforms.

Schumer declined to say whether Democrats would again shut down the government when funding runs out on Jan. 31 if their health care demands are not met.