Democrats and Republicans are bargaining to avoid a government shutdown, The Hill reported, with increased military funding and Obamacare subsidies on the table.
A shutdown could happen this week if a short-term spending bill is not passed by the House and Senate and signed by President Donald Trump by midnight Friday. But both parties seem to be bending to avoid a halt, especially since President Trump on Monday dropped the demand the spending bill include funding for the border wall.
The major areas of disagreement now include funding Obamacare subsidies and defense spending, where there seems to be wiggle room. Democrats have offered an additional $15 billion in military spending – the White House has requested $30 billion more for the Defense Department – if Republicans agree to fund Obamacare subsidies.
The Trump administration has yet to decide whether it will continue to pay subsidies to health insurance companies under the Affordable Care Act. House Republicans in 2014 filed a lawsuit against the Obama administration, saying the payments were illegal because Congress never authorized them. A federal judge ruled in their favor in 2016, but the Obama administration appealed. The case has been stuck in limbo since the House in November asked the court to pause the suit in hopes the incoming administration would quickly unwind the ACA.
The subsidies help low-income people pay for their out-of-pocket healthcare costs.
"That may fly," a senior Senate Republican told The Hill.
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