The Senate’s leaving Thursday for Thanksgiving recess without clear bipartisan agreement on how to address expiring Obamacare subsidies. But after a busy week of talks across the Capitol, we’re starting to get some clarity on what will or won’t pass muster in a year-end health care deal.
Here’s what we’ve learned:
— Sen. Bill Cassidy’s (R-La.) plan to redirect funds into health savings accounts isn’t going to fly with Democrats. Senate Minority Leader Chuck Schumer told reporters Wednesday his party only wants an extension of the Affordable Care Act credits that expire next month, and that “Cassidy’s proposal, as I understand it, replaces them.”
“It’s privatizing health insurance, and it looks like it’s really problematic,” Schumer said.
Health experts say Cassidy’s plan, which aligns with a proposal floated by President Donald Trump, also won’t necessarily do much to offset looming premium spikes. Those talking points could bolster Democrats’ opposition as they argue for a clean extension of the subsidies.
— More Republicans are acknowledging it might be too late to enact major new health care policy before Dec. 31.
“It’s a welcome discussion,” Rep. Don Bacon (R-Neb.) told POLITICO. “But we’re not gonna get that done by Dec. 31.”
When asked about the timeline on Wednesday, Sen. Lisa Murkowski (R-Alaska) said there’s not enough time to make “major changes.”
That could give a boost to Democrats who were promised a standalone vote on an ACA extension bill next month in exchange for reopening the government.
But it could also embolden conservatives who are eager to ditch bipartisan talks and go their own way on a health care-focused, party-line reconciliation package, as White House deputy chief of staff James Blair teased Tuesday.
Senate Budget Chair Lindsey Graham (R-S.C.) said Wednesday he plans to pursue a new budget reconciliation bill. However such a move would likely have to happen next year if at all.
— There’s one area of bipartisan promise on health care. Senate Finance Chair Mike Crapo (R-Idaho) and ranking member Ron Wyden (D-Ore.) say they’ll soon unveil a proposal to crack down on the health intermediaries known as pharmacy benefit managers — a longtime priority for the panel.
Wyden told POLITICO he’s hopeful the Senate will advance a bill by the end of the year. When he chaired Senate Finance in 2023, the committee approved a PBM bill in a 26-0 vote.
Committee Republicans are eager for the bill to hitch a ride on a must-pass legislative vehicle. One Senate aide involved in the negotiations tells POLITICO the package is likely to be in the mix in January as Congress approaches the next government funding deadline.
Sen. Steve Daines (R-Mont.) told reporters Wednesday there could be a “window” to put it on the floor as a standalone measure.
What else we’re watching:
— More censures?: Look out for whether there’s a move to censure Rep. Sheila Cherfilus-McCormick (D-Fla.) after she was indicted on federal fraud charges Wednesday. This week has been heavy on censure efforts in the House, with Rep. Chuy García (D-Ill.) formally rebuked Tuesday and derailed attempts against Democratic Del. Stacey Plaskett of the Virgin Islands and GOP Rep. Cory Mills of Florida.
— Next steps on permitting talks: Key negotiators regard Thursday morning’s House Natural Resources Committee markup as an important step in reaching a comprehensive permitting reform deal this Congress. Chair Bruce Westerman’s (R-Ark.) bill would ease permitting reviews and limit legal challenges for projects under the National Environmental Policy Act, a bedrock environmental protection law many conservatives believe is mired in too much red tape.
— NDAA down to the wire: The “Big Four” leaders of House and Senate Armed Services are racing to reach a compromise defense bill just a week before their self-imposed deadline. The lawmakers are hoping to drop the bill text the day they return from Thanksgiving break and are targeting an early December vote on the House and Senate floors.
Robert King, Calen Razor, Jordain Carney, Meredith Lee Hill, Josh Siegel and Connor O’Brien contributed to this report.
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