House Speaker Slams ACA Subsidy 'Boondoggle,' Blames Dems

House Speaker Mike Johnson, R-La., said Monday that the expiring Affordable Care Act subsidies at the heart of the impasse over the partial government shutdown are a "boondoggle" and that Democrats have only themselves to blame.

Johnson also said the subsidy issue cannot be included in any stopgap funding measure to end the shutdown, which is now in its 13th day.

"The COVID-era Obamacare subsidy that they're all talking about is supposedly the issue of the day," Johnson told reporters.

"It doesn't expire until the end of December. And by the way, it is the Democrats who created that subsidy who put the expiration date on it.

"They did it all on their own. Republicans weren't involved in that at all.

"They put an end date on it because they knew that it was supposed to be related to [COVID-19], and it's become a boondoggle.

"It's a subsidy for insurance companies. When you subsidize the health care system and you pay insurance companies more, the prices increase," said Johnson, adding, "That's been the problem.

"So if indeed the subsidy is going to be continued, it needs real reform. But there's a lot of ideas on the table to do that, probably 100 different ideas on how to fix it, but we can't do that overnight.

"That requires the month of October and probably part of November to get the consensus built around that. So it is impossible and it is inappropriate for Democrats to demand that — they know what they're saying isn't true — should be part of the negotiation today for a simple continuing resolution."

Senate Minority Leader Chuck Schumer, D-N.Y., has maintained that Democrats won't support a House-backed stopgap funding measure unless it includes an extension of the subsidies.

The enhanced tax credits began under Democrats in 2021 during the COVID-19 pandemic and were extended in 2022 as part of the Inflation Reduction Act.

Under the old ACA rules, premium subsidies ended at about 400% of the poverty line — roughly $60,000 for an individual and $125,000 for a family of four in 2025. The 8.5% income cap created in 2021 removed that limit, allowing aid for households whose premiums exceeded that share of income regardless of earnings.

"Let's just state it simply: Obamacare failed the American people," Johnson said.

"It was promised to be a great success to make health care more affordable. It's done exactly the opposite, and it has been pointed out by everyone that since Obamacare was created in 2010, premiums, the cost of healthcare have risen exponentially.

"It's skyrocketed to the point where it's no longer affordable for so many Americans, and the access to care has been reduced, and the quality of care in some regions of the country has been reduced.

"We have to reverse all of that, and we have plans to do it. The Republican Party is the party that has the plans to fix it."

"Can we completely repeal and replace Obamacare? Many of us are skeptical about that now because the roots are so deep," continued Johnson.

"It was really sinister the way, in my view, it was created. I believe Obamacare was created to implode upon itself, to collapse upon itself.

"I think the people who drafted that, the architects of it, knew that it would not be sustainable because their objective was ultimately a single-payer system.

"They wanted full government control of health care. That's a terrifying prospect for those of us who believe in low-cost, high-quality care."

Republicans hold a 53–47 advantage in the Senate. To overcome a filibuster and bring a funding bill to a final vote, 60 votes are required.

With Sen. Rand Paul, R-Ky., opposing the continuing resolution, and two Democrats and an independent supporting it, five more Democrats must break with Schumer to reach the 60-vote threshold. There has been no movement since the shutdown began Oct. 1.

The Senate is set to return to session Tuesday.

Johnson has kept the House out of session since it passed the stopgap funding measure on Sept. 19, saying the lower chamber can do nothing more until the shutdown ends.