Democrats make Obamacare subsidies focal point of funding talks

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(The Center Square) – With less than three weeks until the federal government runs out of money, congressional Republicans are hoping Democrats will agree to passing at least three of 12 appropriations bills, supplemented by a “clean” funding stopgap.

As of Wednesday, however, Democratic leaders are holding fast to their health care agenda ultimatums, with House Minority Leader Hakeem Jeffries, D-N.Y., telling reporters that his party’s “consensus position” is to oppose any federal funding legislation “that continues to rip health care away from the American people.”

Jeffries referenced both Republicans’ One Big Beautiful Bill, which cuts down on scheduled Medicaid spending increases and removes ineligible enrollees, and the upcoming expiration of the expanded Obamacare Premium Tax Credits (PTC), which Republicans have not yet committed to renewing.

While the minority leader did not explicitly confirm that PTC expansion is Democrats’ “red line” in passing a funding stopgap, or Continuing Resolution, he said the expiring subsidies are “one of many issues that should be addressed urgently.”

CRs can be “clean” – merely placing current funding toplines for federal agencies and programs on cruise control – but lawmakers often include slight changes, such as extending temporary funding meant to expire.

Given the impending Sept. 30 government shutdown deadline, top appropriators have generally agreed that the best course of action is for the House to pass the Senate’s three-bill minibus – which includes the MilCon-VA, Agriculture, and Legislative Branch funding bills – and extend existing funding levels for the remaining government agencies via a Continuing Resolution.

So far, not a single fiscal year 2026 appropriations bill has passed both the House and Senate. Both chambers must ultimately approve the same text.

Senate Majority Leader John Thune, R-S.D., told reporters Tuesday that a CR would most likely stretch until November to give lawmakers enough time to pass the remaining nine fiscal year 2026 appropriations bills.

“[W]ith the window closing now between now and September 30th, we will need a short-term Continuing Resolution,” Thune said. “And how long that goes for, what anomalies it might carry, or all things can be negotiated but … we haven't received an offer yet from the Democrats related to that.”

Jeffries said House and Senate Democrats will meet sometime Wednesday to go over funding strategies. The House is also set to vote on whether to conference over the minibus, a track the White House recently endorsed.