Washington — Senate Majority Leader John Thune announced Tuesday that Republicans intend to bring the Republican-led health care bill to a vote along with a proposal from Democrats later this week to extend the Affordable Care Act tax credit.
“This program desperately needs reform, and Democrats have decided, ‘We’re not going to do anything to reform it,’ so we’ll see what the vote turns out on Thursday,” Thune said at a news conference after a luncheon of Republican senators on Tuesday. “But we will put forward an alternative that reflects the views of Republicans in the United States Senate.”
Thune, a South Dakota Republican, said the Senate would vote on a measure unveiled earlier this week by Sens. Bill Cassidy, R-Louisiana, and Mike Crapo, R-Idaho.
The legislation, called the Patient Medical Freedom Act, does not expand the enhanced tax credit. Instead, it will redirect funds into the health savings accounts of those with bronze plans on the state exchanges.
“This actually does make health insurance premiums more affordable,” Thune said. “It delivers the benefit directly to the patient, not the insurance company, and it does it in a way that actually saves taxpayers money. It’s a win-win proposition.”
Senate Majority Leader John Thune speaks to reporters after the Senate Republican Policy Luncheon at the U.S. Capitol on December 9, 2025 in Washington, DC/Photo: Heather Diehl/Getty Images
Senate Minority Leader Chuck Schumer, speaking shortly after Thune, called the Cassidy-Clapeau bill “junk insurance.”
Thune’s announcement comes as Democrats plan to extend the enhanced Affordable Care Act tax credit for three years, leading to a vote on Thursday. Democrats have the option of introducing a bill of their choice as part of a deal to end the shutdown.
The enhanced premium tax credit will help approximately 22 million low- and moderate-income Americans purchase health insurance in 2025. Premium costs are expected to increase by an average of more than $1,000 a year when they expire in January, according to the Center on Budget and Policy Priorities. KFF estimates that the expiration of the tax credit will more than double annual premiums from an average of $888 in 2025 to $1,904 in 2026.
The planned Democratic measure in the Senate is unlikely to gain enough Republican support to advance and is politically unpopular despite Democrats’ hopes it would force Republican members to vote against extending the subsidy. A parallel vote on the Republican proposal could relieve some pressure on Republicans, although some argue against such an approach because it is unlikely to produce a solution.
Senate Republicans have been considering their path forward for weeks, and some other GOP lawmakers have unveiled their own plans in recent days. Some of the proposals would extend the tax credits under new restrictions, including a plan by Sens. Bernie Moreno of Ohio and Susan Collins of Maine to extend the credits for two years. Another plan from Kansas Sen. Roger Marshall would extend the credit by one year and then redirect the funds into an HSA-type account in 2027.
With 53 Republicans in the chamber, the Republican-led bill is not expected to gain enough support to reach the 60-vote threshold needed to advance most legislation in the chamber. The Democratic bill is also expected to fail.
Thune told reporters Tuesday morning that Republicans do not view the Democrats’ bill “as a legislative exercise.”
“Democrats clearly don’t think so, which is why they’re doing a show vote — it’s a messaging bill,” Thune said. “Then we’ll see if they’re serious about doing something and if at least enough people find a way forward. We’ll see.”
Thune said the Democrats’ plan was intended to “make a political point.”
“At some point, if they want to enact a law, I think we have people here who would be interested in doing that,” he added.
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