Schumer proposes 1-year ACA subsidy extension to end shutdown

Democratic Sen. Chuck Schumer Friday proposed a deal to end the government shutdown in exchange for a one-year extension of tax credits to keep down Affordable Care Act health insurance premium costs.
The Senate minority leader proposed simultaneous votes to fund the government and to extend the subsidies to ACA, commonly referred to as Obamacare, which would largely prevent skyrocketing premiums for more than 20 million Americans.
“The path forward is simple and achievable: reopen the government, extend the existing (Obamacare) tax credits for one year, and begin bipartisan talks on long-term healthcare affordability,” Schumer said. “All the Republicans have to do is say yes.”
The White House quickly shot down the compromise proposal, with a spokesman saying: “Democrats are making clear they’re holding the American people hostage for other spending.”
Republicans have stood firm on refusing to negotiate over the Obamacare credits, although Senate Majority Leader John Thune had promised Democrats a vote on the issue if they first vote to end the shutdown, which is now in its 38th day and counting.
House Speaker Mike Johnson has taken an even harder line, refusing to agree to a vote on the health credits or any other compromise with Democrats.
Still, Schumer’s new proposal could open the door to more talks as both sides seek an off-ramp to the damaging standoff, especially now this week’s off-year elections are in the rear-view mirror.
Democrats had earlier demanded a longer extension of the tax credits.
Thune was expected to huddle with fellow GOP senators later Friday, but it’s unclear if they will seriously consider Schumer’s proposal after the White House seemed to shoot it down.
Trump says he wants the Senate to scrap the filibuster, which would allow Republicans to reopen the government without any Democratic support. So far, that call has fallen flat with his own party.
The new proposal comes as the pain from the shutdown continues to worsen. Airlines canceled hundreds of flights Friday after federal authorities said too few air traffic controllers are working without getting paychecks.