Democrats’ CR could cost up to $1.4 trillion, add millions to Obamacare plans

Spread the love

Democrats’ plan to prevent a government shutdown could cost the federal government up to $1.4 trillion and subsidize millions of new Obamacare recipients over the next decade.

With the federal government set to run out of money by Oct. 1, Republicans are set to vote on a clean Continuing Resolution to put agency funding essentially on cruise control for seven weeks, buying lawmakers time to pass all 12 annual appropriations bills for fiscal year 2026.

Democratic leaders, however, introduced a counterproposal Wednesday that goes far beyond temporarily extending government funding.

The laundry list of policy riders in Democrats’ four-week CR includes repealing the health care savings in Republicans’ recently-passed One Big Beautiful Bill Act and nullifying recent fiscal reforms to government-sponsored health insurance marketplaces. The bill would also permanently extend the temporary COVID-19 era expansion of Obamacare Premium Tax Credits, which are set to expire in December.

According to an estimate from the Congressional Budget Office, those three health care policy changes alone would cost roughly $662 billion over the next ten years. Reversing the health care changes in the OBBBA would cost $272 billion, while undoing Affordable Care Act marketplace changes would cost $40 billion. Permanently extending the expanded Obamacare PTC would increase the deficit by $350 billion.

The Committee for a Responsible Federal Budget estimates that the entire CR would cost the government roughly $1.4 trillion between 2026-2035. CRFB President Maya MacGuineas said the bill should be “a complete non-starter.”

“Lawmakers should be focused on keeping the government open, not driving it deeper into debt,” MacGuineas stated Thursday. “It’s bad enough we are failing yet again to meet the most basic deadline in budgeting by not appropriating on time. We don’t need to add insult to injury by imposing massive new costs on our kids and grandkids.”

Democrats argue that the CR addresses cost of living concerns and protects health care. CBO has estimated that making the Obamacare PTC permanent would increase the number of people with ACA-subsidized health insurance plans by 3.8 million in 2035, while scrapping OBBBA reforms would boost the number of people with health insurance by 2.9 million.

But Republicans say health care policy should be addressed later, not through government shutdown prevention bills. Senate Majority Whip John Barrasso, R-Wyo., called the plan “a Trojan horse” in a Thursday speech to lawmakers.

“It’s not serious, and the Democrats know it,” Barrasso said. “The Democrats want a ransom payment – a ransom payment of over one trillion dollars to keep the government open for just four weeks.”

Leave a Comment





Latest News Stories

Newsom, Bonta vow suit over National Guard deployment

Newsom, Bonta vow suit over National Guard deployment

By Madeline ShannonThe Center Square Editor's note: This story has been updated since its initial publication. Gov. Gavin Newsom addressed concerns that President Donald Trump is sending federal agents to...
U.S. nuclear stockpile hit with shutdown furloughs

U.S. nuclear stockpile hit with shutdown furloughs

By Liam HibbertThe Center Square All 68 federal employees at a Nevada nuclear stockpile site were furloughed in the wake of the U.S. government shutdown. Some contractors remain at the...
Spokane police chief ordered officers not to work with FBI after June 11 protest

Spokane police chief ordered officers not to work with FBI after June 11 protest

By Tim ClouserThe Center Square Spokane Police Chief Kevin Hall directed officers not to work with the FBI in the days following the June 11 immigration protests, according to records...
Treasury sanctions Russian oil companies, calls for ceasefire

Treasury sanctions Russian oil companies, calls for ceasefire

By Andrew RiceThe Center Square The U.S. Treasury Department announced sanctions against two Russian oil companies on Wednesday. The department cited Russia's "lack of serious commitment" to ending the war...
DOJ: Illegal immigrant charged with assault

DOJ: Illegal immigrant charged with assault

By Dave MasonThe Center Square An illegal immigrant from Mexico was expected to make his first court appearance Wednesday following an arrest in which he rammed law enforcement vehicles before...
Manufacturing advocate: 'Follow the actions' with Pritzker on taxes

Manufacturing advocate: ‘Follow the actions’ with Pritzker on taxes

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – Gov. J.B. Pritzker says he prefers growing the economy over raising taxes, but a small and midsize...
Illinois quick hits: National Guard restraining order extended; economic growth above trend

Illinois quick hits: National Guard restraining order extended; economic growth above trend

By Jim Talamonti | The Center SquareThe Center Square National Guard restraining order extended Following an agreement between the state of Illinois and the federal government, U.S. District Court Judge...
US and Qatar say EU climate regulations could impact LNG supplies

US and Qatar say EU climate regulations could impact LNG supplies

By Alton WallaceThe Center Square The U.S. Department of Energy is urging the heads of State in the European Union (EU) to repeal or significantly change climate regulations adopted in...
U.S. debt tops $38 trillion for first time

U.S. debt tops $38 trillion for first time

By Brett RowlandThe Center Square The U.S. national debt reached $38 trillion amid a partial federal government that costs taxpayers $400 million daily to pay furloughed federal workers to stay...
Trump defends tariffs, tells beef producers to lower prices

Trump defends tariffs, tells beef producers to lower prices

By Brett RowlandThe Center Square Cattle producers called on President Donald Trump to reverse course on a plan to import beef from Argentina as prices for the grocery store staple...
VA secretary pleads with Democrats to end the shutdown

VA secretary pleads with Democrats to end the shutdown

By Morgan SweeneyThe Center Square As part of a visit to the Washington, D.C., veterans’ medical center Wednesday, Department of Veterans Affairs Secretary Doug Collins publicly urged Democrats in Congress...

WATCH: Pritzker opposes redistricting Illinois mid-cycle as other states move forward

By Greg Bishop | The Center SquareThe Center Square (The Center Square) – The prospect of Illinois legislators changing the state’s congressional maps before the 2026 election seems unlikely with...
Record-long govt shutdown threatens food, early childhood education assistance

Record-long govt shutdown threatens food, early childhood education assistance

By Thérèse BoudreauxThe Center Square Senate Democrats are set to block Republicans’ government funding bill for the 12th time Wednesday, keeping the federal government shut down despite tens of millions...
Sen. Scott Wiener announces he's running for Pelosi's seat

Sen. Scott Wiener announces he’s running for Pelosi’s seat

By Dave MasonThe Center Square State Sen. Scott Wiener, a San Francisco Democrat and vocal opponent of the Trump administration, announced Wednesday he’s running for U.S. Rep. Nancy Pelosi’s seat....
Cities sue Trump administration for tying funds to DEI

Cities sue Trump administration for tying funds to DEI

By Elyse ApelThe Center Square Denver has joined a coalition suing the Trump administration over funds it says have been "illegally" withheld. Joined on the lawsuit by other Democrat-run cities...