A conservative group is calling for an extension of the "Obamacare" subsidies as a way to mitigate Medicaid cuts that Republican lawmakers are weighing as part of the reconciliation package, The Hill reported Tuesday.
Plymouth Union Public Advocacy said extending the Affordable Care Act's enhanced tax credits would save up to $540 billion if paired with the cuts already being considered by the House, according to the report.
"Cutting Medicaid is unpopular, could jeopardize the GOP's chances in the midterms, and could derail President Trump's agenda during his final two years in office," PUP Advocacy wrote in a memo shared with The Hill. "Congress should use the same reconciliation process to extend the enhanced tax credit."
PUP Advocacy was founded by former heads of the Republican Governors Association, Republican State Leadership Committee, and Republican Attorneys General Association, according to The Hill.
Republicans have balked at extending the tax credits, given the cost of $335 billion over the next 10 years, according to the Congressional Budget Office.
It was reported Tuesday that congressional Republicans are targeting a loophole that all states except Alaska have used for decades to pull in billions of dollars in extra Medicaid funds through a provider tax that allows them to collect higher matching fund payments from the federal government.
It's estimated that ending the loophole could save the federal government about $600 billion over the next 10 years, which would be a large part of the $880 billion in Medicaid cuts that a House committee that oversees the federal health care program has been tasked with finding.
Mark Swanson ✉
Mark Swanson, a Newsmax writer and editor, has nearly three decades of experience covering news, culture and politics.
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