Congress gridlocked as Affordable Care Act subsides set to expire, driving up health care costs

"SAN FRANCISCO (KGO) -- Congress remains deadlocked on how to address rising healthcare costs, leaving millions of Americans facing steep price hikes when enhanced Affordable Care Act subsidies expire at the end of the year. On Thursday, the U.S. Senate failed to pass two separate proposals aimed at extending tax credits for ACA health plans. Without action, Americans enrolled in Obamacare could see out-of-pocket costs jump by an average of 114%, according to an estimate from the Kaiser Family Foundation."

"Several bipartisan bills in the House aim to prevent those circumstances, including a proposal from Rep. Sam Liccardo, D-San Jose, and Rep. Kevin Kiley, R-Rocklin, to extend ACA tax credits for two more years without increasing the deficit. "I've heard from many people who say, 'I just can't afford it if I have to pay thousands of dollars more for health care,'" Kiley said. But House Speaker Mike Johnson has signaled strong opposition."

"California health care leaders warn the consequences could be dire. "Individuals who are seeking service for sometimes life-saving measures have to think about, 'How are we going to pay for this?'" said Jessica Wilson, CEO of NAMI California. Dr. Rachel Ruiz, a pediatric gastroenterologist at Santa Clara Medical Center, said the impact will ripple across communities. "If you're in an accident, your health outcomes will be compromised," Ruiz said. "We're talking about California, not just uninsured or underinsured communities.""

Congress has not reached agreement on extending enhanced Affordable Care Act subsidies set to expire at year-end, and the U.S. Senate recently failed to pass two proposals to extend tax credits. Without congressional action, average out-of-pocket costs for ACA enrollees could increase sharply, with an estimated 114% rise. California health leaders warn that higher costs will force patients to weigh lifesaving care against payment ability and will worsen health outcomes across communities. Several bipartisan House bills propose a two-year extension without increasing the deficit, but House leadership has signaled opposition, prompting further efforts to change leadership’s stance.

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