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Why Obamacare funding is a sticking point in the fight to avoid a government shutdown

Democrats demand $350 billion for health care over 10 years to maintain Medicaid and Affordable Care Act subsidies amid a potential government shutdown.

  • Facing two days when the Senate returns, Senate Minority Leader Chuck Schumer said Democrats won’t back funding that ignores the looming health care crisis, while U.S. Sen. Richard Blumenthal demanded Medicaid restoration and permanent ACA subsidies by September 30.
  • The GOP funding proposal would drop extended ACA tax credits that help 24 million people and include Medicaid cuts, and Democratic senators say funding must protect both programs together.
  • CMS data show the subsidized total nearly doubled to 19.5 million by 2024, and letters warn of premium increases up to $400 or $500 per month as the CBO estimates extending credits costs $35 billion annually.
  • A government shutdown would begin on October 1, forcing hundreds of thousands of federal employees to work without pay and straining hospitals and clinics serving low-income areas.
  • The bill needs 60 votes in the Senate, giving Democrats leverage, and some Republicans including Sen. Lisa Murkowski have proposed extending premium tax credits as a bipartisan path forward.
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A possible government shutdown could hinge on this health care debate

Republicans are pushing for a temporary extension of government funding to prevent a possible shutdown, but Democrats aren't budging on health care policy demands.

·Sacramento, United States
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digitalchew.com broke the news in on Monday, September 22, 2025.
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