The draft plan suggests that President Donald Trump is open to extending a provision of Obamacare as his administration and congressional Republicans search for a broader policy solution to a fight that has long flummoxed the party. The White House stresses that no plan is final until Trump announces it.
The subsidies were at the heart of the Democrats' demands in the government shutdown fight that ended earlier this month. Most Democratic lawmakers had insisted on a straight extension of the tax credits, which expire at the end of the year, as a condition of keeping the government open.
Eligibility for the Obamacare subsidies, which were implemented during the Covid-19 pandemic to help people afford health care coverage, would be capped at 700% of the federal poverty level, according to two people with knowledge of the proposal. The people spoke to The Associated Press on condition of anonymity to discuss a White House proposal that is in draft form.
