Republicans have proposed a new plan for Obamacare that would boost the amount of federal money injected into the system and reduce premiums, but Democrats say they will oppose it because of its anti-abortion language.
“Republicans are pushing for anti-choice language as a part of this that Democrats won’t support,” a senior Democratic aide said when asked about the latest proposal confirmed by the office of Sen. Lamar Alexander, R-Tenn., chairman of the Senate Health, Education, Labor and Pensions Committee.
Rep. Frank Pallone Jr., D-N.J., a key Democrat in the House, echoed a similar position. He said he would oppose the bill because it is expected to include the Hyde Amendment, which prohibits federal dollars from going toward abortions.
“I am opposed to having Hyde language,” the New Jersey Democrat said. “I think that is what the Republicans are trying to put all these riders not only on the abortion stuff but also other issues. That is going to make it impossible for us to come to a consensus. I really think it is important they drop these Hyde and other anti-women’s health riders.”
The newest proposal from Alexander would help lower premiums for people who have Obamacare plans by increasing reinsurance funds. The funds originally amounted to $10 billion for two years, and the latest proposal would boost the fund to $30 billion spread out over three years.
Reinsurance programs pay for the cost of the sickest, most costly enrollees to keep premiums at bay for all customers. The proposal is more in line with the House version of a reinsurance bill proposed by Reps. Ryan Costello, R-Pa., and Collin Peterson, D-Minn.
The Alexander plan also would fund cost-sharing reductions for three years, which would help insurers lower out-of-pocket costs for customers. Previous versions of the bill called for two years of funding.
An analysis released by consultant Oliver Wyman found that those areas, taken together, would reduce premiums by 40 percent for people who buy Obamacare plans, meaning those who do not get medical coverage through a job or through a government program such as Medicare or Medicaid.
The proposal keeps other provisions previously agreed upon by Senate leaders that would add more flexibility for states in how they implement Obamacare and allows more people to buy “copper” plans, which are less expensive and carry higher deductibles.
Alexander has maintained that the premium-lowering package should be part of the long-term spending deal expected to pass this month. He has told reporters that he expects the Hyde Amendment would be included so that the federal government doesn’t pay for abortions.
“I’m expecting it to be in the omnibus appropriations bill,” he said of the Obamacare bill.
He explained to reporters Tuesday that other healthcare programs have Hyde language, including Medicare, Medicaid, and the Department of Veterans Affairs, so it would be expected that a spending deal would include it for the Obamacare provisions as well.
“If we can lower rates 40 percent for people who are buying insurance, I think most Republicans and Democrats will want to find a way to do that,” he said.
Sen. John Thune, R-S.D., the third-ranking Republican, also confirmed Tuesday that Republicans want to see the Hyde language in the bill.
Republican leaders will need the support of Democrats to win passage.
- Robert King contributed to this report.
