House Republican leadership revealed its plan on Friday evening to tackle healthcare and insurance costs next week, borrowing heavily from previously written bills.
The Lower Health Care Premiums for All Americans Act takes on a buffet-style approach, including proposals and policies that have received votes in the House in the past and had bipartisan support, House GOP leadership aides told reporters. It comes as the Obamacare subsidies for millions of people are set to expire, with a bipartisan push in the House to renew them fracturing the GOP conference.
The healthcare bill unveiled Friday will codify association health plans, a plan that allows multiple employers to band together to buy insurance at group rates, and so-called CHOICE accounts, which allow employees to use pretax dollars to purchase their own health insurance.
The former’s framework is similar to a bill proposed by House Education and Workforce Committee Chairman Tim Walberg (R-MI), and the latter’s comes from a bill pending in the Ways and Means Committee, written by Rep. Kevin Hern (R-OK). Hern’s bill passed the House in 2023 but never passed the Senate.
Funds will also be appropriated to pay for “cost-sharing reductions” in Obamacare, with the goal of reducing the cost of premiums by 11%. Price transparency for pharmacy benefit managers, companies that negotiate drug prices on behalf of insurers, will also be included.
Under the bill, small businesses funding their own health plans would be able to purchase “stop-loss” policies, which would protect them from going bankrupt from expensive insurance claims. That language comes from the Self-Insurance Protection Act, written by Rep. Bob Onder (R-MO).
House Republicans revealed 10 possible plans of action to address healthcare at their conference meeting on Tuesday, which included the associated health plans, CHOICE accounts, PBM reforms, and cost-sharing reductions.
Notably not included in leadership’s legislation is an extension of the Obamacare subsidies. Centrist Republicans have been pushing Speaker Mike Johnson (R-LA) to hold a vote on the subsidies, of which there are two competing, bipartisan proposals. But leadership and conservatives on the right are staunchly opposed to any extension.
“While Democrats demand that taxpayers write bigger checks to insurance companies to hide the cost of their failed law, House Republicans are tackling the real drivers of health care costs to provide affordable care, increase access and choice, and restore integrity to our nation’s health care system for all Americans,” Johnson said in a statement.
“Republicans are offering clear, responsible alternatives that will lower premium costs and increase access and health care options for all Americans,” he added. “The Lower Health Care Premiums for All Americans Act will actually deliver affordable health care – and we look forward to advancing it through the House.”
GOP leadership aides told reporters that they expect a vote on an amendment to extend the Obamacare subsidies, but there are no details at this time. The amendment vote is likely to be on the plan from Rep. Brian Fitzpatrick (R-PA), which is under a discharge petition, a tool that would force a vote on his bill if it reaches 218 signatures.
Fitzpatrick’s bill includes a two-year extension of the Obamacare subsidies and antifraud measures. But as conservatives press for more guardrails on extending the enhanced tax credits, it is likely only a handful of Democrats will vote for it.
DISCHARGE PETITIONS ON OBAMACARE SUBSIDIES IN LIMBO AS DEMOCRATIC LEADERSHIP MULLS NEXT STEPS
Most of the proposals in the GOP leadership’s healthcare legislation are also unlikely to gain the support of most, if any, Democrats, meaning Johnson will need every GOP vote he can get to get the bill passed.
The bill will mostly act as a messaging tactic for the House GOP, as the Senate is also gridlocked on a healthcare plan, given the 60-vote filibuster threshold needed to pass any piece of legislation. The upper chamber rejected two healthcare proposals, one from Republicans and another from Democrats, on Thursday.
