Democrats Threaten Government Shutdown Over Health Care Funding Dispute

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Democrats Threaten Government Shutdown Over Health Care Funding Dispute

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Battle Over Health Care Could Lead to Government Shutdown

There's a potential government shutdown on the horizon and healthcare is at the center of it all. Democrats are standing firm, stating they won't back down unless the Republicans agree to reverse Medicaid cuts and continue the current healthcare subsidies.

Keeping the government running requires passing a funding bill. While the House, which has a Republican majority, doesn't need the Democrats' support to pass a bill, the Senate does. At least seven Democrats would need to vote in favor for the government to stay open.

Stalled Negotiations

As of now, talks between Democrats and Republicans are slow-moving. Both parties are working hard to establish their non-negotiables.

Senior Democrats from both the House and Senate recently met to strategize. They're united in their stance: Republicans must be willing to pass bipartisan legislation that not only protects, but also boosts healthcare funding. If not, Democrats will not vote to prevent a shutdown.

"We will not back a spending agreement that continues to take healthcare away from the American people," said the House Minority Leader. The Senate Minority Leader added, "The Republicans' proposal isn't good enough for the American people and doesn't get our votes. They need to negotiate with us in good faith to meet the needs of the American people in terms of healthcare."

Democrats' Focus

Democrats are using this potential government funding bill as a chance to extend tax credits from the Affordable Care Act that are due to expire at the end of the year. The tax credits, signed into law by a former president in 2022, expanded eligibility for the ACA and put a cap on premiums.

Democrats also want Republicans to reverse Medicaid cuts that were a part of a huge bill Republicans passed in June without any Democratic support.

If Democrats can secure any healthcare-related concessions from Republicans, it would be a victory. They're looking to show they're using this rare moment of leverage to fight for Democratic priorities.

Republican Response

Republicans, on the other hand, are digging in their heels. The Senate Majority Leader accused Democrats of seeing a shutdown as a political advantage, saying, "Their base wants a fight. But they don't have a good reason for it, and I won't give them one."

The Majority Leader is pushing for a short-term government funding bill with little to no attachments. He believes this will give them more time to agree on funding for the full year. However, Democrats are adamant that healthcare must be part of the funding solution.

The current president, too, supports a short-term funding solution and suggests it could be achieved without Democratic support. He encouraged Republicans to push forward without consulting Democrats. "If we get Republican votes, we have the majority," he said.

He also claimed that Democrats wouldn't vote for a funding bill even if "you gave them everything they wanted."

Efforts to Avoid a Shutdown

The House Speaker stated he does not want the government to shut down, admitting it will need Democratic cooperation to avoid that. He has not yet shared specifics on how Republicans plan to keep the government funded.

Despite calls from the Democratic leader for a meeting, the House Speaker and the Senate Majority Leader have not yet met with their Democratic counterparts.

The chairman of the House Appropriations Committee said that Republican appropriators are working on passing a package of three bills along with a continuing resolution to fund the government through late November. He acknowledged the urgent need for a deal, with time running out.

Due to the Jewish holidays, lawmakers only have seven working days before the funding deadline. This presents a major scheduling challenge. They aren't due to return until just two days before the potential shutdown.

The chairman suggested that they might need to add a few working days to their calendar after Rosh Hashana.

As Democrats push to extend Obamacare subsidies set to expire at the end of the year, the chairman stressed that this issue and debate is outside of his committee's control. However, he did note that the House Speaker could potentially direct him to attach it to the continuing resolution.

"Shutting down the government over this would not be beneficial for the country," the chairman said. "I don't think it would be good for them either, but that's their decision to make."